Former NHL Player Alex Formenton Sues Former Agent for $20.5 Million Over Negligence.
Alex Formenton, a former Ottawa Senators player, has initiated a lawsuit for $20.5 million against his former agent, Wade Arnott and Newport Sports Management Inc., citing negligence, breach of contract, and breach of fiduciary duty.
The lawsuit, filed in the Ontario Superior Court in Toronto, is part of a broader legal controversy involving Formenton and four other former NHL players who are facing charges of sexual assault in connection with an incident that occurred in London, Ontario, in 2018.
Allegations in the Lawsuit
Alex Formenton, 25, claims that due to the alleged misconduct of Wade Arnott and Newport Sports, he has suffered significant financial losses during the 2022-23 and 2023-24 NHL seasons, as well as potential future earnings. The lawsuit seeks $20 million in damages, along with an additional $500,000 in punitive damages.
The central allegations against Arnott and Newport Sports revolve around their failure to properly advise Alex Formenton during a critical period in his career. Formenton alleges that after rejecting a qualifying offer of $787,500 US from the Ottawa Senators in July 2022, he reached out to Arnott for advice on how to proceed. However, Formenton claims that Arnott did not inform him that accepting the offer would have allowed him to negotiate a new contract in January 2023 for the following season. Furthermore, the lawsuit states that Arnott failed to notify Formenton that the qualifying offer could have been extended beyond the July 15 deadline, leaving Formenton without a contract for the 2022-23 NHL season.
Alex Formenton’s lawsuit states: “For the remainder of July to December 2022, Wade continued to represent and hold out to Alex that he would yet be offered a new contract, Wade advised that even without an accepted offer or extended qualifying offer his dealings with the Ottawa Senators on behalf of Alex was ‘business as usual’ and that Alex should rely on Wade and Newport Sports to secure a favourable offer. Wade’s advice was wrong. The Ottawa Senators did not propose or agree to a new contract with Alex prior to Dec. 1, 2022, and accordingly, Alex was ineligible to play in the NHL for the remainder of the 2022-23 season.”
Alex Formenton’s Career Impact and Transition to European Hockey
As a result of the alleged mismanagement, Alex Formenton was unable to secure an NHL contract for the 2022-23 season and subsequently signed with the Swiss professional team Ambri-Piotta for $125,000. The lawsuit claims that during negotiations with Ambri-Piotta, Arnott sought to include a clause allowing Formenton to return to the NHL if a new agreement were reached, and the lawsuit asserts that Arnott failed to properly advise Formenton about the potential career implications of transferring to a European team, which may have hindered his chances of returning to the NHL in the future.
In January 2024, Alex Formenton requested a leave of absence from Ambri-Piotta and terminated his association with Wade Arnott and Newport Sports Management, citing dissatisfaction with the representation and guidance he had received. This move coincided with Formenton facing charges alongside other former members of Canada’s World Junior team—Dillon Dube, Carter Hart, Michael McLeod, and Cal Foote—in the London sexual assault case.
Background on the Sexual Assault Charges
Alex Formenton and the four other players named in the lawsuit are among those facing charges related to an alleged sexual assault that occurred in London, Ontario, in 2018. All five players have denied the charges and are preparing to contest the allegations in court, opting for a jury trial.
Newport Sports Management, based in Toronto, is one of the leading sports representation agencies in Canada, representing several prominent NHL players, including Connor Bedard, Erik Karlsson, and Steven Stamkos. The agency promotes itself as a top provider of services to professional hockey athletes, but Formenton’s lawsuit casts doubt on its ability to properly manage client careers.
In his filing, Formenton alleges that both Arnott and Newport Sports owed him a duty of care, which they failed to uphold during critical moments in his career. The lawsuit asserts that the agency’s negligent actions and failure to meet the expected professional standard resulted in significant financial losses for Formenton.
Legal Consequences and Ongoing Case
As of now, the claims in Alex Formenton’s lawsuit have not been adjudicated, and neither Wade Arnott nor Don Meehan, the founder of Newport Sports, have publicly responded to media inquiries about the case. The outcome of this lawsuit, along with the ongoing criminal case in London, could have significant implications for Alex Formenton’s career and financial future.
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