PFL is in litigation wars with multiple sponsors

Rich Energy USA, NXT LVL, Bravago, Millions.co, and more targeted. What happened?

How does a company get a billion-dollar valuation when legally claiming sponsors aren’t paying?

Here’s something Donn Davis isn’t actively talking about on his LinkedIn account:

Where did all the PFL money go?

Several civil lawsuit complaints filed in the Southern District of New York claim breach of contract and non-payment actions from numerous sponsors who signed multi-year deals with PFL.

Quietly, PFL has filed a flurry of lawsuits against sponsors they have publicly touted over the last several years.

The pattern emerging in the documents feels very repetitive and revealing. In particular, a certain payment structure revealed by PFL recurs repeatedly.

Conversely, the sponsors’ replies to the suits also paint an unflattering picture — but of whom?

Quick and dirty: Donn Davis is the CEO and front man for PFL. In 2025, Davis aggressively pushed himself online and in media interviews as an aspirational and inspirational entrepreneur. A man who gets things done and raises more cash than others. He constantly speaks in buzzwords and short phrases. “MMA niche. Now MMA mass.” His entire game is a process hustle. He treats impending PFL media rights negotiations like an algebraic and formulaic mathematical equation. If UFC gets X, we will get Y as a % of the duopoly market share.

His sidekick is Peter Murray, who built a sports reputation for branding and sponsorships.

Depending on which various public sources you digest, PFL has had five (or more) fundraising rounds that have supposedly generated approximately $350M-$400M cash. It could be even more.

It’s the kind of fundraising number you can’t ignore. It’s the giant elephant in the room.

Talk to investment bankers, venture capitalists, or financial speculators who put money in the fight game, and more than likely, PFL’s name comes up in conversation.

One of the biggest mysteries with PFL: Where did all the PFL money go?

According to a series of civil lawsuits filed by PFL in the last twelve months, a disturbing picture emerges of a company allegedly struggling to collect cash from highly touted sponsors they recruited over the last five years.

We will break down each of the various PFL lawsuits and the adjacent Federal court filings applicable to each case.

The combined damages PFL seeks through the lawsuits highlighted in this article are in the $7M range.

As you read these lawsuit summaries, ask yourself how PFL can publicly justify a valuation of at least $700M when sponsors are supposedly not paying contractual installments.

Something is not adding up. Case in point…

PFL vs. Rich Energy, LLC

In September 2019, PFL promoted a brand-new sponsorship agreement with Rich Energy.

Professional Fighters League Announces Rich Energy As Exclusive Global Energy Drink Partner

The partnership includes exclusive marketing rights to PFL IP, on-cage and on-mat branding, on-air sponsored features, ESPN commercial inventory, digital and social content, consumer promotions, and in-venue activation.

“Additionally, we are proud to present the first-ever Rich Energy Cageside Club where fans can experience, in venue, our genuine energy performance product combined with VIP hospitality and an exclusive, all-access floor credential to the fights.”

I am still unsure exactly what the terms of the arrangement were, but Peter Murray put his name on the press release. PFL and Rich Energy renewed their sponsorship deal in 2021 for three years.

In April 2024, PFL sued Rich Energy for breach of contract. PFL claims the deal was worth $2.65M, and that they only received $162,500.

PFL received a default judgment in the case.

PFL vs. Takeover Industries (NXT LVL)

In January 2022, PFL promoted a multi-year sponsorship deal with NXT LVL.

PROFESSIONAL FIGHTERS LEAGUE ANNOUNCES MULTI-YEAR DEAL WITH NXT LVL AS OFFICIAL WATER PARTNER

The names Peter Murray and (Chief Revenue Officer) Jon Tuck were listed in the press release. PFL advertised Mr. Tuck as an executive with NASCAR experience. His name is on the Agreement with NXT LVL. He left PFL in 2023 and joined Publicis Sports and Entertainment.

“Our award-winning innovative performance beverage company is thrilled to work with the PFL, which is one of the fastest-growing and most innovative MMA leagues in the world,” said Toby McBride, the founder and chief executive officer of Takeover. “Our water is sourced from natural springs and infused with hydrogen and other all-natural supplements that athletes use to prepare and recover from grueling training. We’re finding consumers of all ages and ranges of fitness appreciate these same benefits from NXT LVL.”

In March 2024, PFL sued NXT LVL for breach of contract. PFL claimed the deal was worth $2.152M and that they received $208,500. PFL sued for $1.35M.

A copy of the sponsorship agreement can be read here.

A key provision in the Agreement:

“In the event of early termination, SPONSOR shall pay to PFL for services properly rendered and/or Benefits properly delivered up to the effective date of termination (“Termination Sum”). In the event the amounts paid to PFL exceed the Termination Sum, PFL shall refund the difference to SPONSOR within ten (10) days.”

NXT LVL’s legal counsel focused on this as part of the company’s motion to dismiss. That failed. Counsel filed an Answer on March 31, 2025.

Big deal, right? It turns out that a search of Federal litigation related to Takeover/NXT LVL reveals some interesting connections.

A man named James Deppoleto sued Takeover. The same Toby McBride listed in PFL’s press release for NXL LVL sponsorship submitted a declaration in Mr. Deppoleto’s case. Another individual in his declaration stated the following:

"On April 28, 2022, at a Professional Fight League ("PFL") event in Dallas, Texas, Plaintiff James Deppoleto, Jr. ("Plaintiff") was introduced to me and Toby McBridge by Plaintiff's cousin and PFL fighter Anthony Pettis. At that time I first discussed with Plaintiff the science, innovation and benefits about Takeover's products hydrogen infused spring water and the Gamer shot."

"On or about June 24, 2022, Plaintiff, Tucker, McBride and I planned to attend another PFL event in Atlanta, Georgia. However, Plaintiff and Tucker avoided meeting with McBride and me and, unknown to me at that time, Plaintiff and Tucker went to a meeting with T-Pain, a famous rapper and would-be promoter of Takeover products."

In a December 2024 deposition with Mr. Deppoleto, he discussed the attempted NXT LVL connection to Anthony Pettis.

"They were -- really was a spinoff of having conversations with my cousin. I believe they were asking him to be some kind of influencer and then offered him an ability to buy-in for some shares of the company. That was the initial."

When we started cross-checking names in PFL litigation, we discovered numerous other Federal lawsuits in different jurisdictions. This is how we stumbled onto the Anthony Pettis references.

PFL vs. Bravago, LLC

In April of 2022, PFL announced a partnership with Bravago as their hard seltzer sponsor.

PROFESSIONAL FIGHTERS LEAGUE ANNOUNCES BRAVAGO BOLD SELTZER AS OFFICIAL HARD SELTZER PARTNER

Jon Tuck’s name was on the press release.

“As part of the multi-year partnership, Bravago will sponsor all season events on ESPN networks and streaming platforms and will be served in the Cageside Club. Additionally, Bravago will work with PFL brand ambassadors to promote upcoming events and create unique consumer facing programs for fight fans across the country.

Bravago Bold Seltzer, co-founded by professional wrestler Bill Goldberg, is inspired by risk takers, adventurers and those who pursue a bold lifestyle.”

In April of 2024, PFL filed suit against Bravago in SDNY for breach of contract. The complaint claims it was a three-year deal valued at $1.27M. PFL claims Bravago made two installment payments totaling $300,000 and then stopped future payments. PFL sued Bravago for $835,000 in damages.

In July of 2024, PFL sought a default judgment.

There is currently an April 2025 order to show cause note. Stay tuned.

PFL vs. millions.co inc.

In April of 2022, PFL signed a sponsorship agreement with millions.co. inc.

PROFESSIONAL FIGHTERS LEAGUE ANNOUNCES MILLIONS.CO AS OFFICIAL WATCH PARTY PLATFORM

Peter Murray’s name was on the press release.

MILLIONS is the largest social commerce and video platform connecting the world of sport, and will enable PFL athletes to host watch parties, launch athlete-specific merchandise, and provide “ask me anything” personalized videos to fans.

“The Professional Fighters League is pleased to announce MILLIONS as our official watch party partner,” says PFL CEO Peter Murray. “The PFL prides itself on disrupting MMA. The opportunity for major influencers and PFL athletes, the best in the sport, to interact with our fans while watching the 2022 PFL Season unfold on ESPN and ESPN+ is a great way to create unforgettable experiences.”

MILLIONS is backed by Boston based Volition Capital and co-founded by legendary MMA announcer Bruce Buffer.

In November of 2024, PFL sued millions.co inc. for breach of contract. From their legal pleading:

"In consideration for the sponsorships, Millions was to pay PFL varying payments in installments at the beginning of each year for an aggregate amount of $250,000.

Millions made its first installment payment in March, 2022, in the amount of $50,000, and thereafter failed to make any of the subsequent installment payments of $100,000 and $150,000."

PFL is asking for $250,000 in damages.

On April 4, 2025, Millions filed an Answer and Counterclaim. They allege that PFL breached their Agreement and thus the contract is void.

The Counter-Defendant breached the Agreement by performing virtually none of these deliverables.

As a direct result of the Counter-Defendant's breach, the Counter-Claimant has suffered compensatory damages, including but not limited to the $50,000 it paid to Counter-Defendant.

The litigation process remains ongoing.

PFL vs. Westgate Marketing, LLC

In 2023, PFL signed a sponsorship deal with Westgate Resorts. One year later, PFL announced an extension of that arrangement.

PROFESSIONAL FIGHTERS LEAGUE, WESTGATE RESORTS EXTEND PARTNERSHIP THROUGH 2026

PFL Chief Commercial Officer Bryan Calka’s name was on the press release.

On April 1, 2025, PFL filed suit against Westgate Marketing, LLC for breach of contract.

PFL claimed the sponsorship deal was for three years and valued at $1.8M with two installments owed each year. $300,000 for year one, $600,000 for year two, and $900,000 for year three.

PFL claimed Westgate paid $150,000 in one installment.

When pressed for payment, Westgate responded with a written notice of termination, dated July 9, 2024, sent to the PFL stating that they were repudiating the Agreement prior to its conclusion because Westgate was “not in a position to proceed.”

Subsequently, the parties conducted telephone conferences wherein the PFL indicated that, not only was Westgate’s repudiation of the Agreement improper, but that the PFL could not resell the sponsorship assets that were sold to Westgate given the type of asset sold. As such, the PFL reiterated to Westgate that the Agreement was in full effect, and that it expected the parties to perform their obligations thereunder.

PFL claimed they rejected Westgate’s termination overture and sought $1.65M in damages.

On April 4, 2025, the Court issued an order to show cause.

The Court hereby ORDERS that on or before April 18, 2025, Plaintiff must show cause, by affidavit, why this case should not be dismissed for failure to plead subject matter jurisdiction.

In particular, the affidavit must explicitly set forth the identities and state(s) of citizenship of each member of Defendant Westgate Marketing, LLC. If members are individuals, Plaintiff must provide their states of domicile. If members are corporations, Plaintiff must indicate all states of incorporation and the principal place of business for each corporation. If members include any limited liability company, Plaintiff shall provide the citizenship of each member of said limited liability company. Defendant may file a response on or before April 25, 2025.

Alex Leibson of Abrams Fensterman, LLP, is the attorney of record for PFL’s lawsuits against sponsors.

The obvious questions raised by PFL’s sponsor lawsuits

First, what kind of due diligence did PFL conduct on potential sponsors?

How did PFL end up with so many different sponsors who allegedly couldn’t pay installments?

Has this situation been explained to PFL investors in detail?

Second, was PFL recruiting as many sponsors as possible to impress current and future investors, a prospective and total potential valuation of sponsorship deal revenue, while turning a blind eye towards the actual probability of collecting sponsorship payments?

Was it more financially valuable to PFL to go to future investors and claim they had millions of dollars promised in sponsorship contracts, rather than revealing how much actual cash was paid in installments?

How much cash could a sales pitch generate from prospective investors to put money into the PFL based on a high sponsorship valuation?

The fact pattern presented by PFL in their multiple federal lawsuit complaints paints an interesting scenario. PFL signs a multi-year deal with a sponsor, with each year escalating in prospective fees, while only claiming to have received a small % in an installment, and that they should be legally owed the rest of the money for the term of the contract.

Why were PFL sponsorship deals structured in a way in which deals were three years in length, and each subsequent year fees increased by 2x and 3x from the year one base amount?

The last twelve months of PFL civil lawsuit complaints raise serious questions about the company’s true sponsorship revenue. Did PFL make any material misrepresentations to prospective investors about the true scope and reliability of their sponsorship revenue during the fundraising process?

How can PFL continue to fundraise at a high valuation when they’re claiming financial difficulties collecting money from sponsors?

Zach Arnold is a lead opinion writer for The MMA Draw on Substack. His archives can be read at FightOpinion.com.