[ArmyDC]

Originally Posted by Grid

The last minute wording, that caused the deal to not happen. Is listed in the actual lawsuit filing. Fanatics knew the scam Panini was running, and wanted to base the payoff on their own "real world numbers".

https://fingfx.thomsonreuters.com/gf...23-cv-6895.pdf

In a nutshell, section 9. Panini got caught falsifying earnings projections, which would have made Fanatics pay more to them as an early termination fee. IE, if you want the license now, you must pay us the profit we would lose, if we stopped making cards sooner.

This is how its worded in the counter suit

In fact, Fanatics eventually learned through private discussions with the CEO of Panini America that Panini itself was relying on a different, materially lower set of accurate, updated figures for its own internal use while still feeding Fanatics the pumped-up projections

And since Panini wanted to use their own fake projections, and not those of Fanatics, the deal was off the table.

Sounds like how Gojo was goosing their subscription numbers during their acquisition of Waystar.