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Wednesday, April 23, 2025

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Judge tosses pro-doping sporting tournament’s antitrust claims against Olympic swimming governing bodies

A sports competition that incentivizes athletes’ use of performance-enhancing drugs encountered a legal speedbump Monday with the dismissal of its $800 million antitrust lawsuit against several elite sports governing bodies.

MANHATTAN (CN) — A federal judge in New York on Monday threw out antitrust claims brought by The Enhanced Games, an Olympics-style athletic competition explicitly premised on permitting the use of performance-enhancing drugs, saying its claims that three major sports governing bodies exercised monopoly power over international swimming competitions were insufficient.

Enhanced Games claimed in its complaint that World Aquatics implemented an anticompetitive rule — bylaw 10 —  in June, excluding anyone who participates in sporting events that embrace banned substances.

“Enhanced fails to allege that bylaw 10, contrary to its plain language, automatically applies to every elite, international swimming competition,” U.S. District Judge Jesse Furman wrote in a 33-pageorder on Monday, granting World Aquatics, USA Swimming and the World Anti-Doping Agency’s motion to dismiss.

“Instead, the only events bylaw 10 conditions access to are those elite, international swimming competitions hosted by World Aquatics, which Enhanced itself concedes do not constitute the entirety of the market,” the judge added.

Furman, a Barack Obama appointee, nonetheless granted Enhanced Games’ leave to file an amended complaint addressing defects in its case within 30 days.

The Enhanced Games filed its lawsuit in August in Manhattan federal court, accusing the three sports governing bodies of conspiring to “kill off its only potential competitor" by blocking access to athletes and officials.

World Aquatics, the international organization that governs swimmers’ eligibility for annual World Championships and the Olympics, also oversees aquatic sports including diving, water polo and artistic swimming (formerly synchronized swimming).

The bylaw 10 rule bans individuals who “support, endorse, or participate in sporting events that embrace the use of scientific advancements or other practices that may include prohibited substances and/or prohibited methods” from competing in World Aquatics events.

“If allowed to proceed unchecked, defendants’ conduct will harm not only new competitors such as Enhanced from gaining entry into this market, but also the athletes who are critically underpaid for the risks and sacrifices they undergo daily in competing under defendants’ regime,” Enhanced Games wrote in its complaint.

Australian tech entrepreneur and billionaire Aron D’Souza first floated the idea for the Enhanced Games in 2023, touting the prospective competition as one that would allow athletes to use performance-enhancing substances without having to be drug tested.

The competition touts an early investment from the venture capital firm 1789 Capital, which includes Donald Trump Jr. as partner.

Athletes are incentivized with $1 million prizes to break world records, with “natural” competitors invited as well.

The inaugural Enhanced Games is scheduled to take place in Las Vegas, Nevada, over Memorial Day Weekend in May 2026, featuring $500,000 in prizes per event in track, swimming and weightlifting.

Prior to founding the Enhanced Games, D’Souza helped lead Peter Thiel’s controversial litigation against Gawker Media over its publication of late professional wrestler Hulk Hogan’s sex tape. The 2012 lawsuit led to a stunning $140 million damages valuation, which was later shaved down to $31 million following a settlement between Hogan and the now-defunct media company.

Categories / Business, Health, International, Sports

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