UFC faces another class-action antitrust lawsuit

The UFC is facing another lawsuit from a former fighter alleging antitrust violations and a monopoly on the sport. Mikhail Cirkunov, also known as Misha Cirkunov, has filed a class-action lawsuit on behalf of himself and fighters who competed in live UFC events since July 1, 2017. Seeking over $75,000 in damages, Cirkunov targets UFC parent companies Zuffa LLC, Zuffa Parent LLC, and Endeavor Group Holdings in the lawsuit.

Cirkunov fought 13 times in the UFC until his last fight in October 2022. A contract he signed in September 2020 included an arbitration clause and class-action waiver, prohibiting fighters from filing class-action suits and mandating arbitration for any grievances. The 58-page complaint claims the UFC established a monopoly in professional MMA by signing fighters to exclusive deals, prohibiting matches in other promotions, and causing competing leagues to fold.

Similar claims were made in previous antitrust lawsuits in 2014 (Le v. Zuffa) and 2021 (Johnson v. Zuffa). Unlike those cases, the new lawsuit challenges the arbitration clause and antitrust waiver. The UFC received a $375 million settlement for the 2014 lawsuit after a federal judge’s final approval earlier this year.

The UFC dismissed the merit of Cirkunov’s lawsuit, highlighting that fighters had signed class-action waivers. The UFC spokesperson stated that the previous lawsuit’s counsel had expressed concerns about the weakness of the claims. Additionally, the majority of fighters agreed to arbitrate claims instead of pursuing court action, which the UFC believes strengthens its case against the proposed classes.

The lawsuit alleges that the UFC’s revenue control in the MMA industry allows them to suppress fighter pay. Claiming that the UFC pays fighters less than other major sports leagues like the NBA, NFL, NHL, MLB, and boxing, the suit contends that UFC fighters receive less than 20% of event revenue, contrasting with the 50% or more paid in other sports and boxing.

The suit further argues that, despite the UFC’s dominant position in MMA, it lacks competitive market dynamics found in other sports like the NFL’s free agency system. The absence of rival teams vying for players based on their market value hurts fighters’ earning potential. Cirkunov’s attorneys, Eric Cramer and Michael Gayan, did not respond to requests for comment on the case.

Mick Akers can be contacted at [email protected] or 702-387-2920. Follow @mickakers on X.