WWE Facing Another Lawsuit Over Saudi Arabia Dealings

WWE and Saudi Arabia have a decade-long deal worth a ton of money. Some investors are also coming down on the company for not disclosing every aspect of their Saudi Arabia dealings.

A new lawsuit has been filed against WWE over allegedly not disclosing information about the deterioration of their Saudi Arabian television deals. Vince McMahon, Stephanie McMahon, Triple H and others are named in the lawsuit and being accused of misleading investors.

The claim that a deal with Orbit Showcase Network in Riyadh was going to happen while they allegedly knew that OSN was leaving sports broadcasting and would not renew their deal. It is also alleged in the lawsuit that they misled investors about signing a replacement deal.

WWE executives sold more than $300 million in stock while they had this information. The stock value would not have been as high if information about their crumbling TV deal in Saudi Arabia was made known.

The cause of action in the complaint says: “Breach of fiduciary duty; unjust enrichment; aiding and abetting.” WWE stock was at $66 when they sold it and it fell to $44.50 when the news broke about WWE’s Saudi Arabian deal.

WWE just settled a $40 million lawsuit over their Saudi Arabian deal. Now they could be facing another difficult legal situation.