Suspense in Kingston: Will the Aussie ILCA Dinghies / Lasers be Sold, or Seized?

LaserPerformance Lasers at the Front - PSA ILCA Dinghies at the Back
in Kingston, ON, for the Laser Radial and 4.7 World Championships
Kingston, Ontario, is a nice and busy place these days when it comes to youth sailing.

But soon, the « freshwater sailing capital of the world »  may become busy with lawyers, bailiffs and legal actions.

The World Championships in the Laser Radial sailboat finished on July 30 and the Laser 4.7 Worlds are due to start next Friday on August 16.

There are two main suppliers of charter boats: LaserPerformance and Performance Sailcraft Australia (PSA).

And the word is that most of, if not all, the Aussie boats have been sold, or at least that down payments were made for them.

Some 40 boats were apparently sold on the very first day.  That's more boats than many dealerships sell in one year.

The Australian boats are said to sell at CAN$7,700, which is nearly CAN$1,000 less than what LaserPerformance charges for ex-charter boats, and about CAN$2,000 less than a new boat, when sold through the regular Laser dealer.

Possession of the Aussie boats by their new owners is expected to mostly take place at the end of the Laser 4.7 Worlds on August 23rd.

While competing in the Laser Radial and 4.7 World Championships, those Aussie boats bear an « ILCA Dinghy » sticker in the cockpit.

There is no Laser sticker in the cockpit. The regular Laser logo is however on the sails.

It appears that the boats will not be sold as Lasers but as « ILCA Dinghies » - the new name announced by the Laser class ILCA (International Laser Class Association) on April 25, for which the sailboat class is a trademark holder (unlike for the Laser name and logo).

As we recently discussed, the approach of the Laser class has evolved since and seems now to rather embrace unbranded / generic boats.

While the ILCA Dinghy name appears now dead in the context of the discussions with World Sailing for keeping the boat as an Olympic equipment, it appears to be alive and well in Kingston, Ontario.

The Australian boats are perceived by a number of youth sailors and their parents as being of better quality, stiffer and possibly even faster … that’s at least what one hears on the parking lot.

While such quest for better equipment is a normal feature of the Optimist class, from where most youth Laser sailors originate, it's something that is contrary to the very concept of the Laser, which is supposed to be the "epitome" of strict one-design sailing, according the Laser class constitution.

Normally, it would have been up to LaserPerformance to only provide charter boats for those championships.

Inside an ILCA Dinghy: ILCA Dinghy Sticker on Left'
World Sailing Laser Plaque on Right
But the International Laser class ILCA facilitated for the Aussie boats to be available at the Laser Radial and 4.7 Worlds.

Remember, LaserPerformance, which owns the Laser trademarks in Europe, North America and most of the world, and had until recently over 80% market share globally, was terminated as a builder by the Laser class last March.

LaserPerformance is however present on site in Kingston and also offers charter boats to competitors, as it secured a few extra World Sailing plaques following negotiations in May with World Sailing and other parties.

Like the Lasers, the ILCA Dinghies have World Sailing plaques - but those are standard Laser World Sailing plaques - conveniently bearing the Laser class acronym « ILCA » …

The ILCA Dinghy is not an equipment formally recognized by World Sailing, at least at this time.

When the news broke three weeks ago that the Australian boats had been imported in Canada, the Laser class ILCA provided a clarification on « The Sailor Voice » Facebook group.

« The boats were brought in on an ATA Carnet (temporary import) with different decals for trademark reasons. For racing, all the external decals have been removed. No issues with customs coming into Canada because they weren't using the trademark. The boats will be used at two events and then taken out of the country. » wrote Eric Faust, the Executive Director of the International Laser Class Association.

But in practice, it seems that things are not really going that way, as maybe none of those boats will be taken out of the country after all. Most, if not all, of the Aussie boats, appear indeed to already have found a buyer in Kingston.

This question was discussed on July 30 by Tom Ehman from Sailing Illustrated, in his interview of Farzad Rastegar, the head of LaserPerformance.

Tom Ehman: « Will these boats be left in Canada or will they be re-exported? »

Farzad Rastegar: « They may actually be seized…  They will not be sold in Canada. We will be taking action for this unauthorized action of ILCA and PSA. »

Facebook Post by the Executive Director of ILCA on July 18.
LaserPerformance actually charged US$925 for charter boats
Tom Ehman: « Who will seize them? »

Farzad Rastegar: « That is our legal action. They have no right to do this. This was a complete breach of our agreement… The boats will either leave the following day or will be seized »

Click this link for the relevant excerpt of the Sailing Illustrated interview.

The sale of the boats in Canada as well as the use of « different decals for trademark reasons » will likely be central elements of the legal action.

The contention by the Laser class on July 18 that the boats will be taken out of the country seems now unlikely.

Yes, there is a suspense going on in Kingston.

Will LaserPerformance actually walk the talk, implement its legal action against Performance Sailcraft Australia and the International Laser Class Association, and succeed in getting the PSA boats seized?

Or will Performance Sailcraft Australia complete the sale of its boats, avoid paying any intermediary or dealer, achieve a good business operation in Canada, and avoid shipping fees to return them to Australia?

We should know more soon, at the latest on August 24th.

Stay tuned!

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