Sports agent awarded $44.6 million

Deepa Bharath

A federal jury in Los Angeles awarded sports agent Leigh Steinberg

close to $45 million on Friday, finding his former partner liable for

breach of contract when he started a competing agency, taking many of

Steinberg’s valued clients with him.

After five weeks of testimony and four days of deliberation in

what turned out to be a complex and well-publicized case, the jury

found for the Newport Beach resident and against his protege, agent

David Dunn.

Based on findings of breach of contract and unfair competition,

the jury awarded Steinberg $2 million in compensatory damages and

$2.66 million in punitive damages.

Steinberg, 53, had also filed a lawsuit against Dunn’s firm,

Athletes First, alleging unfair competition and breach of contract.

The jury decided in favor of Steinberg, as well, awarding him $20

million in compensatory damages and $20 million in punitive damages.

The chairman and chief executive of the Newport Beach firm

Steinberg and Moorad has had his business for about 13 years. The

company now has 150 clients, from professional football and baseball

players to skateboarders such as Tony Hawk and surfer Kelly Slater.

Steinberg served as a consultant for “Jerry Maguire,” a 1996 film

about a sports agent whose partner steals most of his clients.

Steinberg on Friday called the judgment “pretty exciting.”

“I’m pleased we can now move forward and put all this behind us,”

he said in a phone interview from Florida on Friday. “Personally,

it’s vindicating. During the trial, we saw some fairly desperate

comments motivated by greed. But the jury saw through all that.”

Steinberg said he is optimistic the decision will withstand an

appeal.

“The jury went through a very exhaustive process,” he said. “I

don’t think anything is going to change the outcome of this case.”

Money is not the object here, Steinberg said.

“It’s really a matter of principle,” he said. “The critical

victory for us here is the jury spoke out strongly about contractual

obligations.”

Steinberg said he continues to forge and maintain fruitful

business partnerships despite his bitter experience.

“We have an awesome new team of agents and attorneys,” he said. “I

believe there are commitments that can be honored. I believe we can

build relationships that will stand the test of time.”

Each year, Steinberg sponsors the Spirit Run at Fashion Island,

which raises money for Newport-Mesa schools and the Newport Beach

Film Festival.

* DEEPA BHARATH covers public safety and courts. She may be

reached at (949) 574-4226 or by e-mail at deepa.bharath@latimes.com.