Local sports compression wear brand Skins is suing the international cycling union (UCI) for $2 million for alleged "mismanagement" of the Lance Armstrong doping scandal, claiming it damaged the company's and the sport's reputations beyond repair.
Skins, which has been a commercial supplier and sponsor of world cycling for the last five years, said the UCI's handling of the Lance Armstrong doping scandal has significantly harmed the brand and caused consumers to distrust the sport.
The Australian company has set about suing the international body for $2 million, and has named UCI president Pat McQuaid and honorary president for life, Hein Verbruggen, as members who should have better handled the "crisis" and defended the sport and its commercial partners.
Skins provided race suits to the American cycling team for the London 2012 Olympics, and has been associated with a series of the sport's global commercial partners including USA Cycling, Cycling Australia and Bike NZ, Rabobank Cycling, Team Europcar, Team Lotto Belisol and Team NetApp.
The company's chairman Jamie Fuller said in a statement: “The Lance Armstrong affair has damaged world cycling to the point where its reputation is possibly irreparable.
"As a commercial partner, there are clearly implications to our brand image and as a company that has built an association with cycling to support its belief in 'The True Spirit Of Competition', our reputation and credibility have potentially been significantly damaged.
“When we decided to invest in cycling by becoming a sponsor, we also made a significant financial commitment into a research and development program which runs in partnership with professional cycling and cyclists. We have been proud of our associations with professional cycling but we are now associated with a sport that commands little or no trust or respect from the general public.
"We believe that until it was forced into action by USADA’s comprehensive report, the UCI fundamentally failed to acknowledge the issues or act to save the credibility of cycling or its commercial partners.”
Armstrong was hit with allegations of doping after the US Anti-Doping Agency released an investigation into his use of the performance-enhancing drugs. The US cyclist was stripped of his seven Tour De France winning titles and dropped by Nike as a result of the claims.
Skins has recruited Swiss law firm Bonnard Lawson to take action against the global cycling body.
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