Lubbock Hotelier in Trouble for Streaming a UFC Fight

 

LUBBOCK, TX — Joe Hand Promotions, Inc., a titan in pay-per-view sporting event distribution, has unleashed a scorching lawsuit against West End Hotel, LLC, and its principals, Harendra I. Patel (a.k.a. Henry Patel) and Neeta H. Patel. The Patels have a controlling interest in the LLC which owns and operates the Aloft Lubbock Hotel at 2909 Iola Ave.

The lawsuit, filed in the United States District Court for the Northern District of Texas, accuses the defendants of pirating the high-profile UFC 264 event headlined by Dustin Poirier vs. Conor McGregor 3 on July 10, 2021.

Joe Hand Promotions, Inc. invoked the power of the Communications Act of 1934, alleging violations of 47 U.S.C. §§ 553 and 605, which guard against the unauthorized interception and distribution of cable and satellite signals.

The lawsuit tells a tale ripped from a crime thriller. It alleges that the defendants sidestepped the lawful route to broadcast the UFC event. Instead of paying the required commercial sublicense fees, they are accused of deploying clandestine methods to intercept the broadcast, reminiscent of a high-tech heist. The complaint paints a vivid picture of subterfuge, with accusations of redirecting residential services, exploiting restricted internet streams, and other deceptive tactics to beam the fight to an eager audience.

However, this might not be what happened. Inside the Aloft is a franchise-branded bar called the WXYZ Bar. Having bootlegged a UFC fight for its patrons, one would assume this is the place to be on a weekend night. Friday, we dropped in at the Aloft's WXYZ Bar. Far from being the bustling center of nightlife in Lubbock, on Friday the place was empty. Two hotel clerks greeted us from behind the check-in counter. When asked about the lawsuit, one of the employees said he heard about it, "But that was a long time ago."

The clerk recounted that a guest had figured out that one of the flat screens in the otherwise empty bar allowed him to stream from his iPhone via screen mirroring. All iPhones have the feature, and all it needs is an agreeable flat-screen TV. The hotel had nothing to do with it, he said.

Yet, the plaintiff’s fury is palpable, describing the unauthorized broadcast as a severe blow to their legitimate business operations. The illicit broadcast allegedly lured scores of patrons to WXYZ Bar, who enjoyed the event without the defendants paying a single cent in licensing fees. This brazen act of piracy, according to Joe Hand Promotions, Inc., deprived them of rightful revenues and created an unlevel playing field in the competitive world of commercial broadcasting.

Joe Hand Promotions, Inc. is seeking the maximum statutory damages allowed under the Communications Act: up to $10,000 for each infraction of 47 U.S.C. § 605 or 47 U.S.C. § 553; a jaw-dropping $100,000 in additional damages for willful violations; and full recovery of attorney’s fees, costs, and interest. The lawsuit portrays the defendants as willful perpetrators who deliberately sought to line their pockets at the expense of Joe Hand Promotions, Inc.

A search of federal court dockets reveals about 125 active cases where Joe Hand Promotions is a party. Most of the lawsuits are against small bars and venues, with pages of disposed or inactive cases filed over the years.

Broadcasting PPV events in agreement with Joe Hand Promotions offers benefits. According to CBC Radio Canada, a PPV license to broadcast in a bar or venue costs between $500 and $1,500 per event, depending on the venue's seating capacity. Joe Hand offers annual subscriptions that can reduce the licensing amount per event. In exchange, Joe Hand Promotions offers not only the rights to broadcast the events but also pre-show promotional materials and a listing on its OnTapSportsLive Barfinder website and app.

The question is, why would a mostly empty hotel bar promote itself as a venue to watch PPV UFC fights?

Joe Hand's lawsuits filed in federal court against unsuspecting small businesses like West End Hotel are so prevalent that there is a cottage industry of attorneys defending against the UFC licensor. Jeffrey Antonelli of Antonelli Law in Chicago stated that he has seen default judgments ranging from $15,000 to more than $25,000. A default judgment happens when the defendant ignores the lawsuit and doesn't answer the complaint or appear in court.

Whatever happened at the Aloft in Lubbock in July 2021 remains unproven. But it seems like extreme lawfare to expose a small business owner to this much liability for the unknown or unwanted actions of a hotel guest who innocently streamed a UFC fight in the hotel's empty bar.

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