Sela, a company owned by Saudi Crown Prince Mohammed bin Salman and operated through the Public Investment Fund (PIF), has filed a lawsuit against US-based Fanatics Studios after the company cancelled the Flag Football Classic event that had been scheduled to take place in Riyadh on 21 March.
The case has been filed before the Commercial Court in London under a contractual clause between the two parties designating London as a neutral venue for resolving disputes.
Fanatics Studios said the decision to cancel the event was driven by deteriorating security conditions in Saudi Arabia in general, and Riyadh in particular, amid military tensions surrounding Al Kharj Air Base and the potential risks to participants and spectators should the event be held near an area exposed to military activity and possible attacks.
Oryx Observer learned of the cancellation immediately after the decision was taken. For reference, the original report on the cancellation can be found here:
Saudi Arabia argues in its legal claim that the cancellation caused substantial financial losses after significant sums had already been spent on advertising campaigns, promotional activities, infrastructure preparations, commissions and other costs associated with organising the event.
According to the filing, Saudi officials proposed postponing the event rather than cancelling it altogether. Fanatics Studios rejected the proposal and instead relocated the event to Los Angeles.
Sela specialises in organising sports and entertainment events, while Fanatics Studios holds the rights to manage and promote several sporting events, including the Flag Football Classic.