Hollendorfer, Del Mar Reach Settlement in Lawsuit

Hall of Famer Jerry Hollendorfer and the Del Mar Thoroughbred Club (DMTC) have reached an agreement in a lawsuit stemming from events during the summer of 2019 when the track temporarily barred the trainer from its grounds, according to a notice of settlement recently filed in the San Diego Superior Court.

The notice included no specifics.

“The terms of the settlement are to remain confidential,” explained Hollendorfer's attorney, Drew Couto.

DMTC president, Josh Rubinstein, confirmed the settlement in an emailed statement.

“The resolution of this litigation does not reflect the merit of or any acceptance of liability by any party,” Rubinstein wrote.

The 22nd District Agricultural Association, which manages and operates the Del Mar Fairgrounds, is also a defendant in the suit.     This resolution is the latest domino to fall in a sprawling series of cases filed by Hollendorfer after The Stronach Group (TSG) barred the trainer from its facilities in June of 2019. The company took the action after four of the trainer's horses were irreparably injured during Santa Anita's ill-fated 2018-2019 winter/spring meet.

This was a time when the track experienced a well-publicized spike in equine fatalities during an unusually wet spell. Hollendorfer has faced no formal regulatory sanctions for events that occurred during the meet.

Del Mar followed TSG's lead in barring Hollendorfer from its grounds, but the trainer successfully overturned the track's ban in court in July of that year.

Events from the summer of 2019 spawned a handful of different lawsuits, most of which are now resolved.

Last June, Hollendorfer and TSG-controlled subsidiary owners of Santa Anita Park and Golden Gate Fields reached a settlement, the details of which were similarly undisclosed. Hollendorfer has not started a runner at any TSG-owned facility since that original 2019 ban.

Last month, the Blood Horse reported that a San Diego Superior Court judge had dismissed Hollendorfer's case against the California Horse Racing Board (CHRB).

According to Couto, Hollendorfer intends to appeal that ruling.

“The court is aware that Mr. Hollendorfer will be appealing the decision in that case,” he said.

Hollendorfer has been an annual face at Del Mar since the summer of 2019, but at a significantly diminished presence compared to the halcyon years of his numerical dominance which led him to multiple leading trainer titles. Last summer at the track, he trained one winner from just 15 starts.

Filings with the San Diego Superior Court show that Hollendorfer has claimed several causes of action against the DMTC, mainly focused on the impacts from DMTC's actions on his business.

Among them, Hollendorfer argued that the DMTC's actions deliberately interfered with existing “contractual obligations” with several of his clients, and that it was done in part to protect the track's own bottom line.

Hollendorfer also claimed in court filings that the DMTC “conspired” with five other key California-focused industry organizations, including TSG and the Thoroughbred Owners of California (TOC), “to enact a group boycott that prevented Plaintiff from racing and stabling” horses in his care.

“The conspiring parties did so in order to prosper economically by avoiding responsibility and shift blame to Plaintiff for dangerous and inherent conditions at their racetracks. Primary objectives of the group boycott included the manipulation of public perception and deflection or misdirection public attention, scrutiny, and inquiries,” filings show.

Court documents show the DMTC pushing back against Hollendorfer's claims the track intentionally harmed his business, in part to protect its own economic interests. For example, the DMTC argues the trainer failed to prove the track had adequate prior knowledge of the trainer's “contractual relations” with his owners prior to banning him, including specific contractual details.

Court documents also show the DTSC countering Hollenderfer's claims the alleged group “boycott” was done to benefit the groups' members.

“There are no facts showing how DMTC or the District benefitted from the alleged group boycott,” filings state.

Hollendorfer sought to recover damages from DMTC for economic and reputational harm, filings show.

Hollendorfer's training operations have seen marked declines since TSG's ban was enacted in 2019. In 2018, he won 176 races and accrued over $7 million in earnings, according to Equibase. So far this year, he has won 14 races and won just under $670,000.

Over the weekend, a Monmouth Park press release detailed how the trainer had transferred 29 of his horses stabled at the track to long-time assistant Dan Ward, with a view to scaling back his operations to California only.

“I just want to concentrate on what I'm doing here in California,” Hollendorfer is quoted in the press release. “Dan and I have discussed for a while that he wanted a chance to go out on his own. Now seems like a pretty good time to do that.”