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What happens in Vegas

Written by: Dan Empfield
Date: Mon Oct 18 2010

"We've been busy all day preparing a complaint," said Mike Olsen, of Goodsell & Olsen, the attorneys for Sunset Racing. That complaint was filed today, Monday, September 18. It alleges that Lake Las Vegas Resort reneged on a contract with its client, Sunset Racing, to host a triathlon on the 10th of September, 2011.

That weekend should ring a bell with triathletes. It's the weekend of next year's Ironman 70.3 World Championship, slated to take place at Lake Las Vegas, in the City of Henderson, hosted by the Loews Hotel.

Pursuant to the complaint Sunset Racing is "seeking injunctive relief," according to Olsen, "asking the court to prohibit the holding of their event, forcing Lake Las Vegas to honor their contract."

The race Sunset Racing is hoping to prohibit is the recently announced Ironman 70.3 World Championship in Henderson, Nevada, on the 11th of September, 2011.

The 70.3 Worlds is slated to be held at Lake Las Vegas Resort. This is a popular venue for triathlons. WTC (World Triathlon Corporation, producers of the Ironman brand of endurance events) announced that Frank Lowery (of Silverman fame) will produce both a short-course race as part of its newly-announced 5150 series event along with Ironman's 70.3 World Championship.
Lowery will also produce the ITU Long Course World Championship race in November, meaning Lowery will have brought to Lake Las Vegas three high-profile events to be staged over a three-month period in Autumn of 2011.

Sunset Racing, owned by Keith Hughes and Dominic Guinto, has for a half-dozen years produced at this venue XTERRA events, a race on the Amica Triathlon Series circuit, and other triathlons popular with locals.

Hughes and Guinto sent an email to Lake Las Vegas Resort, as they have done for the past six years, requesting dates for several races in 2011. These dates were for the Showdown at Sundown to be held on March 26th; an XTERRA event on April 8th, and for the race in September 10th: a stop on the Amica Triathlon Series calendar.

Lake Las Vegas replied to that email, according to Olsen, in the affirmative. This email triggered the go-ahead his clients needed to move forward in event preparation.

Not so fast
"Shortly after receiving this email confirming these days for 2011," said Olsen, "Sunset Racing became aware that Lake Las Vegas and the City of Henderson had been in conversations with a competing triathlon organization. Sunset Racing eventually determined that it was WTC."

Sunset Racing then attempted to sell either the race or the date to WTC, according to Olsen. That overture was conveyed to Frank Lowery, through an intermediary at the City of Henderson.

The City of Henderson reported back that "WTC was not interested in buying the race or the date." This, according to Olsen.
Shortly after this series of exchanges, Sunset Racing held a race at Lake Las Vegas on September 11th of this year. Within a week or two of that race, Sunset Racing was contacted by Lake Las Vegas, and told the resort was not only pulling Sunset Racing's September date, but all its 2011 race dates.

Course of Dealing
Olsen maintains the earlier email from Lake Las Vegas confirming race dates was the method by which Lake Las Vegas traditionally signaled "go" to Sunset Racing. It was at this point—on receipt of this confirming email—that the race organizer could commence planning, attracting sponsors, taking registrations, and, in the case of that date on September 10, warrant to the Amica Triahthon Series (or any other series) organizers that this slot on their tour had been filled.

"Sunset Racing has a history over the past six years of putting on triathlon events at Lake Las Vegas," explained Olsen, which means there has been in place a 'course of dealings' with Lake Las Vegas.

"The way that has worked in the past six years," explains Olsen, is that "Sunset Racing would select their event dates, forward dates to Lake Las Vegas, who'd review their calendar, confirm those dates back to Sunset Racing in writing. Concurrently, Sunset Racing would also submit a 'Right Of Entry.' Lake Las Vegas, on 8/5/10, as per its normal course of dealings, confirmed Sunset Racing's events for 2011."
Still, these ROEs are not official until returned by Lake Las Vegas, signed and approved. So, why did Lake Las Vegas simply argue that they've made a change in direction—they've traded up to a bigger event—and the ROEs would not for 2011 be forthcoming?

"Sometimes these ROEs would arrive a matter of two or three weeks prior to a race," argued Olsen. "That was the rule, not the exception."

Obviously race organizers can't start to prepare for an event two or three weeks prior to its date. Therefore, Lake Las Vegas seemed to treat the signing of its ROEs as ministerial acts, rather than as documents upon which Sunset Racing would rely for permission prior to planning an event.
Ironman keeping its distance
WTC seems keenly aware that its presence at a venue, and in a town, is sweeping. While it has had an Iron Girl race at Lake Las Vegas for some years, its footprint in Henderson is about to grow exponentially. It has therefore—as opposed to and perhaps in response to recent events in Muncie, Indiana—been quick to make clear that it's not applying local pressure in Henderson.

"We have never dealt with anyone at Lake Las Vegas, Loews [Hotel], [The City of] Henderson, relative to any restrictive clause, exclusivity, never even as a thought," said Steve Meckfessel, Ironman's Chief Operations Officer.

Ironman has historically, "lived up to our commitments, to those at Lake Las Vegas," reminds Meckfessel. "We've made similar commitments [to Lake Las Vegas] with 5150, and an NBC show. Ultimately it's up to the businesses, resorts, to figure out what's best for them."

"But we don't have any expectation of exclusivity," said Meckfessel, to counter any charge of strong-arming the locals.

"We've had broad discussions about dates relative to 70.3," continued Meckfessel. "What works best for us, the progression of pros and AGers in their preparation for Kona, is to put this event on one of two weekends. Labor Day was shot down because of the heavy boating weekend. That left the following weekend, the September 10 date. This is the last good date for us in order to tie the date to Kona."

Impact on the Autumn racing calendar
Any court case proper would not come to trial for years. The only reasonable threat to the holding of the Ironman 70.3 Championship at Lake Las Vegas is if injunctive relief is granted. Such injunction, were it to be granted, would likely happen in a very few weeks.

Lake Las Vegas Resort was contacted for this story, and did not comment.

  

  

  

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Comments

Dear Mr. D. Lawrence 4 out of 5 stars

Reviewed by: Chris, Nov 17 2010 10:38AM

Dear Mr. D. Lawrence,
Interesting perspective, for which you are obviously completely entitled. I trust and hope you will allow others to express theirs, instead of asking them to make life easier for you by requesting them to "politely leave." Conspiracy theories are interesting, and to think that the reason one local small business group searched out WTC to undermine another local small business is interesting....conspiracy.....hmmm....????? Again, out of respect, you are completely entitled to your opinion and perspective. While I agree to some extent that the point is not the quality of the Sunset races. I would suggest, however, if competition results in a better product, I personally do not see anything wrong with this outcome. In addition, I applaud the local small business person who seeks to develop their business, and the triathlon industry in LV by attracting more events. If you are satisfied with mediocracy and complacency, that is fine, I guess we differ there.

In anticipation of the future events, look at the newly developed T1....better for all competing RDs, and the athletes! A benefit, I think, please correct me if I am wrong.

Realistically 70.3 World Championship does not even compete with any other events in LV, but does bring attention to LV and the sport. The 5150 series brings an additional event into town. Great news for a small business trying to grow and develop, what a conspiracy!? Mr. Lawrence, I appreciate your dialogue, and hope that it continues to stir debate, raise awareness, and help in the development of multi-sport in Southern Nevada. Job well done.

Updates 5 out of 5 stars

Reviewed by: Dave Wagoner, Nov 15 2010 2:16PM

Are there any updates on this? News and posts have been zero! Seems everyone is keeping quiet. What can you tell us Slowman? I thought it would have been resolved before Clearwater - and slots were awarded to Las Vegas for 2011. [Publisher's note: There's a hearing upcoming asking that a restraining order enjoin the 70.3 Champs in Vegas. Until that hearing, there is no foreseeable news.]

Stay on point 5 out of 5 stars

Reviewed by: D. Lawrence , Nov 12 2010 4:51PM

Gentlemen,

The issue is not the quality of Sunsets events. I personally think that Sunsets events, it's courses and support are commensurate with it's entry fees. They are local races with local pricing. The issue is the fact that a local business (Lake Las Vegas) has conspired with a large corporation (W.T.C.) to undermine another local business in the name of greed. To bad mouth Sunset Racing is to take the easy road. If we as individuals, and as a community, don't take a stand against this type of thing then we have failed. If you are a local racer and think that this type of action is okay then I ask you to politely move away, I don't want you in my community, mostly because if this type of thing were to happen to you and your small business the rest of us would leap to your defense, and clearly, you don't deserve it.

What is best for LV and the Tri Community? 3 out of 5 stars

Reviewed by: Chris, Oct 22 2010 1:06PM

Great news to really put LV on the Tri-Community map with recent announcements of 5150 and 70.3 WC, in addition to the ITU Worlds! I think this will do nothing but help the local tri community, and our fragile economy! I think you will have pros and AGers come in for mini-camps etc, which will be good for the sport in this town. I have done a couple of the Sunset Racing events and do them as there are not many options. Organization has been poor in the two I did (course not marked on both the run and bike). The RD even recognized this and gave 50% of next registration (how many times can you do this?). Despite this, I applaud anyone who puts on these events, as community events like this add to the dynamics and character of any city. However, with that said, I hope the upcoming publicity will increase participation, and increase competition amongst RDs and organizers, so that we get great quality events! Obviously, I am unsure of all the details of the contracts, but I am sure WTC, and Lake Las Vegas and any other involved parties made their decision on their ability to justify. Despite this, I don't think the 5150, and 70.3 WC don't even compete directly with Sunset events! Local RDs such as the Pumpkinman Guy, MountainMan, Sunset, and Silverman have worked hard to establish their races, but I encourage the competition that challenges them to not be complacent! Final word...and enough babbling...Mr. Silverman puts on a first class event, second to none, and I am happy to see that both the 5150 and 70.3 do not compete directly with Silverman, so hopefully the locally run, owned, and operated "cult" event continues to thrive and prosper!

vegas racing 3 out of 5 stars

Reviewed by: dannykam, Oct 22 2010 8:05AM

ironman has been going on for more than 30 years. sunset racing has been existent for less than a decade. las vegas is pretty new to triathlon events period. let sunset racing do their thing and keep local racing alive. it would be awesome to have ironman events in vegas. but let the local organizers keep their hard dedication and motivation to keep putting on events alive. we already have a tough time having any sort of event organized and maintained for more then a couple consecutive years. eg. us crit finals @mandalay bay, mt charleston hill climb, cactus cup mtb race. we got a couple of young guys that want to put events on and keep our local racers happy and participating, ironman will come, feed a bunch of racers in town which is super cool, but then peace out onto the next venue and leaving sunset racing hanging.  i'm not on sunset racing's nuts, just speaking as a small business owner.  i would be pissed if my "lil' trolly through santa's winter wonderland park" was overtaken by disneyland on christmas day. i understand the frustration racers get when races are not as smooth as expected,  volunteers, positive criticism and participation made ironman successful, give these guys a shot. 

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