MLB Players’ Union & Bad Bunny’s Rimas Sports Settle Lawsuit Over Agent Violations

Bad Bunny’s sports agency, Rimas Sports, and the Major League Baseball Players Association (MLBPA) reached an agreement this month (March 6) to settle a lawsuit over penalties tied to improper inducements, according to Associated Press. The parties filed a stipulation with U.S. District Judge Jennifer H. Rearden in Manhattan, confirming that they had resolved the matter. Terms of the settlement were not disclosed.

The settlement brings an end to a legal battle that began when the MLBPA disciplined Rimas Sports last April for violating agent regulations. Co-founded in 2021 by Bad Bunny (Benito Martínez Ocasio) and his longtime manager Noah Assad, the agency was fined $400,000 and faced penalties, including the decertification of agent William Arroyo and a ban preventing Assad and Rimas Sports executive Jonathan Miranda from seeking certification. The union accused Rimas of offering improper gifts to prospective clients, including free VIP tickets to Bad Bunny concerts, suite access to a Phoenix Suns game, and a $200,000 interest-free loan.

Last June, Rimas Sports escalated the dispute by filing a lawsuit against the MLBPA, alleging that the penalties stemmed from a “pre-determined investigation” designed to protect established agents from competition. The agency claimed the union’s actions were discriminatory, accusing it of targeting Rimas for being a Puerto Rican-led company disrupting the traditional order of MLB player representation. Rimas sought an injunction to overturn the penalties, calling them a “death penalty” for the agency and alleging it had caused immediate harm, including preventing them from finalizing a deal to represent reigning National League MVP Ronald Acuña Jr.

The MLBPA fired back, defending its actions as necessary to uphold its agent regulations. In court filings, the union described Rimas’ conduct as “egregious and systemic,” arguing that the agency had built its business by “luring players with forbidden gifts.” In October, arbitrator Ruth M. Moscovitch upheld the MLBPA’s penalties, maintaining five-year bans for Assad and Miranda while prohibiting Arroyo from “re-applying for MLBPA certification until three years have passed from the date of the Notice of Discipline.”