Vince McMahon and WWE have separately filed new motions to move Janel Grant’s lawsuit against them to arbitration. As previously reported, Grant’s lawsuit accusing McMahon of sexual trafficking and abuse had its stay lifted earlier this month. PWInsider reports that lawyers for McMahon and for WWE filed motions with the U.S. District Court for the District of Connecticut asking that the lawsuit be sent to arbitration.
McMahon’s motion argues that the NDA that he and WWE entered into with Grant in which McMahon agreed to pay $3 million for not to discuss their relationship had a clause stating that “any dispute arising under or out of” the agreement be arbitrated and notes:
“The Settlement Agreement was drafted when Plaintiff and Defendant McMahon, who had engaged in a consensual, intimate relationship for approximately three years, sought to memorialize the end of that relationship. In January 2022, Plaintiff and Defendant McMahon, each represented by counsel, negotiated and executed the Settlement Agreement, with Defendant McMahon signing on his own behalf and, in his capacity as Chairman, on behalf of WWE. That agreement, which explicitly sought ‘to avoid any damage caused by public disclosure of private matters known to Grant and McMahon,’ included, among other provisions, terms for Plaintiff’s departure from the company where they both worked (WWE), the payment of $3 million to Plaintiff, mutual releases, and a comprehensive agreement to arbitrate any and all disputes.”
McMahon goes on to say that he made an initial $1 million payment of the $3 million total, but that when he learned that Grant allegedly breached the agreement “by wrongfully disclosing both the existence of the Settlement Agreement and their relationship,” McMahon “exercised his contractual right to withhold further payment otherwise owed under the Settlement Agreement.” He says that he denies all the allegations of wrongdoing and claims that in signing the agreement, Grant agreed not to bring any additional claims against him and vice versa, and that she would not be able to bring future complaints against WWE. It argues that Grant’s claims of signing the agreement under duress doesn’t stand in Connecticut court because of rulings there that if the party under duress accepts “accepts the benefits flowing from it or remains silent or acquiesces in the contract for any considerable length of time after opportunity is afforded to annul or avoid it,” duress cannot be asserted.
The motion also states:
“The Settlement Agreement also contains a clear severability provision: “In the event that any provision of this Agreement is held to be void or unenforceable by any arbitration panel or court reviewing an arbitration decision, the remaining provisions shall nevertheless be binding provided, however, if any of the confidentiality obligations of this Agreement are ever contended to be unenforceable by Grant, or are found to be unenforceable by any tribunal, Grant agrees that she shall return all monies paid pursuant to this Agreement to McMahon.”
WWE’s motion covers similar ground as McMahons and notes that the negotiations of the NDA took place over an eight-day period and that there were previous attempts by McMahon and John Laurinaitis, also a party to the lawsuit, to move the case to arbitration in April 2024. It notes that “Grant did not file an opposition to the then-pending Motions to Compel Arbitration by the June 4, 2024 deadline to do so.”
Grant’s attorney has until January 13th to respond.
