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Wednesday, June 12, 2024 | Back issues
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Nets Sponsor Calls Partnership a Joke

BROOKLYN, N.Y. (CN) - The Nets reneged on a sponsorship deal with a physical-therapy company, it says in a Kings County Supreme Court lawsuit for $1 million.

Boro Park Physical Therapy calls itself a "young local professional organization" that sought to "grow its presence" by aligning with the Nets.

In October 2012 it allegedly paid the basketball team $133,000 as part of an "All Access Pass Agreement" that supposed to include two tickets to each Nets game at the Barclay Arena.

After spending a "vast sum of money to become 'partners' with the Nets, defendants completely abandoned their undertakings and it became clear to plaintiff that they had been misled with empty promises and unfulfilled assurances," the complaint filed Thursday states.

A spokesman for the Nets declined to comment, and an attorney for the plaintiffs did not return a call by press time Friday.

Boro Park PT's complaint also alleges that the Nets conned it into buying several wheelchair-accessible seats to generate exposure as an official team sponsor of the Nets Wheelchair Basketball Team.

A reworked contract granted the company the right to five additional seats to games, including two wheelchair-accessible seats, for each Nets game, according to the complaint.

As per the agreement, Boro Park PT says it was entitled to promotions and public-address announcements for at least 10 games.

The Nets also promised to introduce plaintiff to members of the Barclays Center Business Alliance, a think tank of several companies involved with the arena, according to the complaint.

Boro Park PT says another aspect of its deal included two player appearances, each lasting an hour, at its physical therapy center, along with six video vignettes on its website.

But the Nets allegedly did not deliver.

"After many months and a considerable investment, plaintiff became aware that defendants had no intention of undertaking its promises," the complaint states.

Attorneys for the Nets instead allegedly sent Boro Park PT a notice that it was in default of the agreement last month, warning that termination of the agreement would follow.

The company says it agreed not to file its contract complaint while the Nets investigated its allegations.

Instead, Boro Park PT allegedly learned during a settlement teleconference that the Nets had resold its all-access tickets.

The Nets then terminated plaintiff's rights to all-access tickets, for which Boro Park PT already paid $82,000, according to the complaint.

In all, Boro Park PT says the Nets breached the contract by failing to give it at least $40,000 worth of social-media marketing, a full-page ad in the Nets' All Access Nightly publication, the one-hour player appearances at its facility, six videos featuring plaintiffs on the Nets' website, and on-air mentions for the wheelchair-seat upgrades.

The physical-therapy outfit seeks at least $1 million for fraudulent inducement and breach of sponsorship.

It is represented by Asher Gulko with Gulko Schwed in Manhattan.

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