Solving the Pacquiao-Cotto mess

In the transaction advisory business or investment banking, there is no more truthful saying than "Principals make deals." That is, if you're the one with the money on the line, then it's your call - and only your call - to strike a deal (or decide to walk away) with the guy sitting in front of you who also has his money on the line. The lawyers, the accountants, the promoters, the trainers, the doctor, the business manager, the pet dog, the tricycle driver, the popsicle vendor, the nanny, none of them are the principals.

What do we know?

1. Bob Arum is serving two masters. Thus, he cannot serve either side "with utmost customer care." He is more like an arbitrator, but in this instance, Mr. Arum has something to gain by making this fight happen. He is attempting to lock in Miguel Cotto as a Top Rank fighter for fighting Manny Pacquiao. It is likely that the Puerto Rican is resenting this hard ball stipulation, as his contract ends at the end of the year. Oscar de la Hoya played golf with Cotto recently. Understandably, Cotto wants the biggest paycheck of his life. He is after all a family man, with an uncle suing him for $7 million. If Cotto loses this fight (if it ever happens), he may see his earnings indefinitely be reduced by as much as over 75% per fight compared to what he makes fighting the Filipino phenom. He wants to cash in. But Arum won't let him leave Top Rank. That's a heck of a situation to be in. Arum needs Cotto more than Cotto needs Arum. Besides Manny Pacquiao, who else does Bob Arum have in his stable? Antonio Marga-cheato? Golden Boy Promotions has Shane Mosley, Bernard Hopkins, Juan Manuel Marquez,

Now we see why Cotto's pride is sticking out. The Puerto Rican is supposed to be the client here - he is the one paying Bob Arum's cut of his purse in order to represent him. If the pizza delivery boy rudely places the pizza on the floor for you to pick up, would you still tip him? You're the paying customer - the client. The pizza guy needs to be respectful if he wants those $2 to $3 dollar tips.

Source: http://www.examiner.com/x-4514-Houston-Boxing-Examiner~y2009m8d1-Solve-the-PacquiaoCotto-mess