Wolff Sports was asking for R$540,000 in compensation for a corruption scheme involving ticket sales in 2017; it re-signed a contract with the club in August of this year
THE Wolff Sportsa company that specializes in brokering specific sponsorships in sports, has dismissed a lawsuit it filed against the Sao Paulo Football Club since 2019. The company requested R$540 thousand in compensation for a ticket diversion scheme in 2017 which resulted in the dismissal of Alan Cimerman, then the club’s marketing manager, that same year.
The process was extinct on Tuesday (17.Sep.2024), 1 day after the Poder360 seek out São Paulo to ask for clarification on the process, since the agency “won” a box at MorumBIS in the second half of this year as a result of a new exchange agreement before having even closed new sponsorships for the tricolor. The club did not respond to the question at the time.
“During the course of the lawsuit, the plaintiff waived the right to which he was […] founds the action and, consequently, I consider the process to be extinguished”wrote Judge Celso Moreno Morgado in a ruling. Here is the full (PDF – 34 kB).
Negotiation and diversion
In the lawsuit, the company said it had agreed with Cimerman to purchase tickets for VIP boxes for U2 concerts at Morumbi (now MorumBIS) in 2017 for R$750,000. The tickets were not delivered and the then marketing manager allegedly presented false proof of purchase to the organizer, Live Nation.
In court, São Paulo acknowledged the irregularity, but returned only R$210,000. At the time, Wolff already had a box at Morumbi, which the club had lent to it when the agency signed sponsorship contracts with the club. The contracts ended at the end of 2018 and Wolff Sports occupied the box until July 1, 2019.
THE Poder360 found that the situation involving Alan Cimerman – and the lawsuit filed by the company – prevented Wolff Sports from doing business with São Paulo again from 2019 onwards. The withdrawal of the lawsuit was part of an agreement that would be beneficial for both parties: the agency would return to doing business with the club and SPFC would be freed from the lawsuit.
Chronology
- 2017 – “ticket diversion” scheme in boxes at Morumbi causes losses to Wolff Sports. The case resulted in the dismissal of Alan Cimerman, then marketing manager of São Paulo;
- 2018 – year in which the last contracts arranged by Wolff Sports for SPFC came to an end;
- 2019 – Wolff Sports initiated a compensation action against São Paulo, asking for the amounts paid back and vacating the box it occupied at Morumbi;
- 2019 – the action was considered unfounded in court;
- 2020 – the Court accepted an appeal from Wolff Sports and overturned the ruling. The case was reinstated;
- 2024 – Wolff Sports regained a box at MorumBIS and extinguished the lawsuit against the club; the company has not yet signed new sponsorship contracts.
Understand the case
In the previous contract with SPFC that ended in 2018, Wolff Sports brokered several sponsorship deals for the club. As part of the partnership, it gained the right to use a box at the Morumbi stadium. The company stated, in the lawsuit, that it benefited the club with the sponsorship deals in a “troubled period” to Sao Paulo, “marked by allegations of corruption”.
“Among the transactions carried out between the parties, the defendant offered in exchange the transfer of space in its stadium, used as a box according to the ‘Private Instrument of Exchange Contract’, signed on April 13, 2017. valid until July 1, 2019“the company wrote in the lawsuit. Here is the full (PDF – 655 kB).
In 2017, the club’s marketing manager, Alan Cimerman, was fired after a scandal involving the embezzlement of tickets for VIP boxes at events at Morumbi. According to Wolff Sports, the deal to obtain tickets for the U2 concert was negotiated directly with the executive, who did not fulfill his part and even presented a false receipt for the purchase of the tickets.
What does Sao Paulo say?
To the Poder360São Paulo said that Wolff Sports received the box in 2024 through an exchange contract and that it will once again provide sponsorship acquisition services for “the different areas of the club”. It is therefore not a free transfer of space.
He also confirmed that the agency had dropped the lawsuit it was filing against the club. “Wolf withdrew and gave up the grounds for the action that charged us approximately R$800 thousand [o valor total da causa era de R$ 750 mil]for alleged losses he suffered at the U2 show in 2017, including paying legal fees”wrote the club.
São Paulo also said that dropping the case is in the interests of both parties. “ending the wear and tear caused by the U2 concert episode, wear and tear caused by a former employee who was duly dismissed for just cause, and who is facing criminal proceedings for his actions”referring to Alan Cimerman.
What Wolff Sports says
Founded in 2006, Wolff Sports & Marketing claims to be the number 1 sponsorship agency in Brazil. It operates in several sports, including football, futsal, basketball and volleyball. Sought after by Poder360confirmed that he did not sign contracts with São Paulo FC after 2018 because the club’s leadership prohibited new business with the agency due to the ongoing process.
The agency was responsible for the first sponsorship contracts for the player Endrick, currently at Real Madrid, and this month it began representing the defender Vitor Reis, from Palmeiras. The company has also brokered commercial contracts for names such as Zico, Neymar and Rayssa Leal.
Regarding the new partnership, Wolff stated that he could not provide details about the agreement made with SPFC due to confidentiality issues. He also mentioned some agreements already closed for the club in the past. “It is worth mentioning that Wolff Sports has entered into numerous sponsorship contracts with SPFC with Wizard, FIAP, Sil, Motorola, Poty, Joli, Urbano, Tenys Pé Baruel, among others”the agency said in a statement.
Read more:
#Agency #gains #VIP #area #ends #lawsuit #São #Paulo