Rangers have won a legal battle with American businesswoman Kyle Fox after a Stateside legal challenge was booted out.
Kyle Fox and her firm KRF Capital have failed in their attempt to have the Ibrox club pay for her legal fees in a Florida court. The case, filed in December of last year, claimed KRF was due recompense because Rangers had instigated a previous lawsuit to prevent Fox from launching an investment bid in "bad faith".
This was something the Judge, Eduardo Sanchez, refuted, stating: "Rangers’ litigation of this case has not involved any obstructive or rules-violative conduct, or any other litigation shenanigans, that would support a finding of bad faith."
The Ibrox board had instigated its own proceedings in August 2022 amid claims that Fox was looking to ‘trick’ investors into thinking that stakes in RIFC plc were for sale with the endorsement of Ibrox power brokers. An investor deck bearing club insignia had been circulating around the Glasgow business community that was created by KRF without consent. The club moved to dismiss the motion 58 days later with sources stating they were content the action had fired a shot across the bow of anyone intending to use their intellectual property without authorisation.
READ MORE: Why American investment and NFTs are not the answer for Rangers - Jonny McFarlane
KRF argued that this case was "without any legal or factual basis" and used "as a 'bullying tactic". However, Judge Eduardo Sanchez said: "Rangers’ counsel has provided a reasonable and credible explanation for Rangers’ voluntary dismissal in the context of this litigation" before denying the request for a legal fee payout.
Fox announced she was withdrawing her bid to invest in March stating: "Our interest was predicated on certain conditions being met - those conditions were not met. Our letter of interest included gaining anti-dilution rights protection, two board seats and access to the data room and management interviews. All were denied."
It's understood that while Rangers met with Ms Fox, her credentials as an investor were dismissed. The American is not a high-net-worth individual looking to plough her own money into the football club, rather her intention was to gather investment from venture capitalists. Keen to heed the lessons of previous financial problems, the current custodians want to ensure the club remains in the hands of those who truly understand it as an institution rather than a business opportunity.
Fox's own investor deck, which Herald Sport has access to, claimed that Rangers finances could be transformed by "layering technology". It was claimed: "AI cameras, 3D streaming, data analytics, mobile apps, NFTs, push notifications can transform fans' experience and thus organisation revenue."
KRF have the option to appeal the decision for the next seven days.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel