CHRB Denies Stay of Justify Decision, Will Entertain Appeal

In the latest detour in the exhaustive legal saga stemming from Justify's 2018 GI Santa Anita Derby win, the connections of the horse during his racing career filed a notice last week with the California Horse Racing Board (CHRB) requesting that the agency entertain an appeal of a recent board of stewards decision disqualifying the horse from the race and to stay the purse distribution.

In response, the CHRB have denied a stay of the stewards' decision but stated that it will “assign a Hearing Officer in this matter where the issue of timeliness of the appeal and appeal itself will be heard and a proposed decision submitted to the Board for consideration,” according to an order issued by the CHRB Tuesday.

The plaintiffs in the appeal are owners China Horse Club International Limited, Head of Plains Partners, Starlight Racing, WinStar Farm, jockey Mike Smith and trainer Bob Baffert.

After the New York Times first reported that Justify had tested positive post-race for scopolamine, Mick Ruis, owner-trainer of the runner-up that day, Bolt d'Oro, sought to have the result of the race overturned with Bolt d'Oro declared the winner.

Ruis alleged that the CHRB failed to follow its own rules when it decided not to pursue penalties after Justify's positive test. The CHRB argued that Justify should not be disqualified because the positive test was the result of contamination linked to jimson weed.

At the end of last year, a Los Angeles County Superior Court judge ordered the CHRB to set aside the stewards' 2020 decision and issue a new ruling disqualifying winner Justify from the Santa Anita Derby.

Early in March, the CHRB reached a separate settlement that called for the agency to pay Ruis $300,000, and to order a redistribution of the $1-million purse.

In last week's notice, Amanda Groves, who represents Justify's connections, argued that grounds for an appeal included how the plaintiffs were not a party to the lawsuit between Ruis and the CHRB, leading to “Procedural irregularities and denial of due process and/or a fair and impartial hearing.”

Groves also reiterated the CHRB's original claim, writing that “it is undisputed that the positive scopolamine test was a result of environmental contamination due to inadvertent exposure to jimsonweed in hay/straw.”

BloodHorse reported that Ruis's attorneys had filed a response arguing that none of the grounds raised in the appeal are relevant.

When asked about the contents of the letter, Darrell Vienna, who represents Ruis, told the TDN that the CHRB issued the disqualification order “because they were ordered to do so by the court.”

The court did not demand that the CHRB hold another hearing on the matter, Vienna added. “It just issued an order to disqualify the horse, Justify, and to redistribute the purse,” he said.

“If the Justify parties have issue with that, that issue should be addressed at the Superior Court, in my opinion,” said Vienna. “If the court orders a subordinate agency to do something, they must do it.”

According to last week's notice of appeal, Justify's first-place finish in the Santa Anita Derby accrued the owners a combined $585,000, while Smith and Baffert each received $58,450.

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Justify’s 2018 Santa Anita Purse Money to be Redistributed, Record to be Adjusted

The long-standing saga of the 2018 GI Santa Anita Derby may finally be at a close, as the $1-million purse was formally redistributed Saturday, according to a report in Daily Racing Form. Undefeated Triple Crown winner Justify (Scat Daddy) won the 2018 Santa Anita Derby, but later tested positive for scopolamine and Mick Ruis, owner of the second-place finisher Bolt d'Oro (Medaglia d'Oro), persevered with his attempts to have the results overturned. More on the background of his efforts can be found here.

This past December, Ruis released a statement claiming legal victory in the matter and, earlier this month, a Los Angeles County Superior Court judge ordered the California Horse Racing Board (CHRB) to disqualify Justify and pay $300,000 to Ruis while also redistributing the purse. During his racing career, Justify was campaigned by a partnership consisting China Horse Club International Ltd., Head of Plains Partners, Starlight Racing, and Winstar Farm.

According to DRF, a board of California stewards issued a ruling Saturday ordering Justify's ownership to relinquish the $585,000 in first-place prize money. Trainer Bob Baffert and jockey Mike Smith must also return their portion of the purse, which is typically 10% of the winnings. The money must be forfeited by Apr. 29, with all trophies also returned.

Justify, who is now a successful sire standing at Coolmore America, will also see his race record adjusted from six-for-six to five-for-six. California stewards Ron Church, John Herbuveaux, and Kim Sawyer signed Saturday's order.

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CHRB Settles with Ruis in ’18 Santa Anita Derby Dispute Involving Justify DQ

Three months after a Los Angeles County Superior Court judge ordered the California Horse Racing Board (CHRB) to set aside a 2020 stewards' decision and issue a new ruling disqualifying winner Justify from the 2018 GI Santa Anita Derby, a separate settlement has been reached that calls for the CHRB to pay $300,000 to Mick Ruis, the owner of runner-up Bolt d'Oro, and to order a redistribution for the $1-million purse of that stakes.

Dick Downey of the Blood-Horse was first to report the settlement on Thursday, citing details made public in court filings.

Neither the settlement nor the underlying lawsuit involved any direct claims against 'TDN Rising Star' Justify's then-ownership group (China Horse Club, Head of Plains Partners, Starlight Racing, and WinStar Farm) or the colt's trainer, Bob Baffert.

Although, as Downey pointed out in the Blood-Horse, “Presumably they retain the right to appeal the stewards' ruling” and the purse redistribution.

By winning the Santa Anita Derby, the undefeated Justify was able to earn necessary qualifying points to enter the GI Kentucky Derby. He then swept the remaining two Triple Crown races, the GI Preakness S. and GI Belmont S, but was retired from racing six weeks later after developing a left front ankle filling.

It wasn't until 15 months after Justify's Triple Crown romp that a September 2019 bombshell story in the New York Times revealed that Justify had tested positive for scopolamine after he won the Santa Anita Derby, and that the result had been kept hidden from the public.

The Times further reported that CHRB officials arranged to handle Justify's positive “differently than usual” by holding an August 2018 executive session hearing during which CHRB members voted unanimously not to disqualify Justify or to sanction Baffert because the positive test was the result of contamination linked to jimson weed.

The stewards subsequently claimed they had no jurisdiction on the matter as it had already been decided, a decision with which the CHRB later concurred.

Ruis then began what would turn out to be a years-long legal quest to have the result of the race overturned with Bolt d'Oro declared the winner, alleging that the CHRB failed to follow its own rules when it decided not to pursue penalties after Justify's positive test.

Carlo Fisco, one of Ruis's attorneys, told TDN via email Thursday evening that the settlement also will quell a separate civil case pending against the CHRB that sought monetary damages.

“We have settled our monetary claims against the CHRB, which now has the additional duty to recover and redistribute the purse to the rightful owners including our client,” Fisco wrote. “It was never about the money. I'm hoping we can all move on and put the actions in 2018 of a few bad actors behind us. It's all been settled save for the purse redistribution.”

According to the Mar. 5 court document that outlines the settlement, “within five days of [the CHRB] being served with the signed Judgment, the Board of Stewards will enter a new order disqualifying the horse Justify and redistributing the purse pursuant to Rule 1859.5 and ordering that all purse monies earned or awarded be returned to the Paymaster of Purses at Santa Anita within 30 days of their order. If the purse is not redistributed within 30 days, [the] CHRB shall use its best efforts pursuant to its rules [in] ensuring that the [court ruling] is upheld.”

The settlement filing states that the CHRB's obligations “are expected to be fully performed by CHRB using its best efforts as expeditiously as possible.”

The settlement also stipulates that “Nothing contained in this Agreement shall be construed as an admission of liability, any wrongdoing, or any violation of law.”

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The Week in Review: Takeaways from Justify-Scopolamine Verdict, and Other Thoughts

The long-running battle to decide whether or not Justify (Scat Daddy) should have been disqualified from his win in the 2018 GI Santa Anita Derby seems to have come to a conclusion last week when the team representing Mick Ruis, the owner and trainer of runner-up Bolt d'Oro (Medaglia d'Oro), obtained an order from Los Angeles County Superior Court Judge Mitchell L. Beckloff, directing the California Horse Racing Board Stewards to set aside their Dec. 9, 2020 decision and issue a new ruling disqualifying Justify from the 2018 Santa Anita Derby. With the ruling, Bolt d'Oro has been declared the winner.

At issue was a report in the New York Times that revealed that Justify had tested positive for the substance scopolamine in the Santa Anita Derby. At the time, scopolamine was on a list of substances that, when found in a horses's system, required that the horse be disqualified. According to reports and Ruis's lawyer, the CHRB acted on recommendations from then-executive director Rick Baedeker and equine medical director Dr. Rick Arthur. It was their call that Justify should not be disqualified because the positive test was the result of contamination linked to jimson weed.

Had the New York Times not broken the story some 17 months after the Santa Anita Derby, probably, no one would have ever known that the horse had tested positive. Once the story was brought to light, Ruis went to work and hired attorney Darrell Vienna. Ruis stood to make $400,000, the difference between first and second-place money in the $1-million Santa Anita Derby.

There are, however, a few remaining questions:

1) Is this the final word or may there be still more appeals and fights in the courts?

“There is the potential for appeal,” Vienna said. “My understanding of the judge's order is that the stewards must now issue an order to disqualify Justify. There's the potential that the stewards' ruling can't be appealed. That's kind of confusing because they're under the order of the court. Now, is there going to be an appeal to the judgment of the Superior Court judge. They could appeal to the stewards, the court, one or the other or both. Hopefully, there will be no more appeals and we can just move on.”

2) All of the qualifying points for the Kentucky Derby that Justify picked up came from the Santa Anita Derby. Had the California stewards disqualified him from that race and did so in a timely manner, he would not have been eligible to run in the Kentucky Derby and obviously wouldn't have won the Triple Crown. Do the owners of the horses who finished behind Justify in the Triple Crown races have a case and could, say, Good Magic (Curlin) eventually be declared the winner of the 2018 Derby?

“I don't think so,” Vienna said. “I am aware of a case in California in which there was the appeal of a winner of a race who had subsequently been disqualified from a qualifying race that got him into the race he won. In that case, the California courts held that the horse's eligibility was determined at time of nomination and participation. Under those circumstances, I don't believe there will be any change in the order of the Kentucky Derby or the other Triple Crown races.”

A spokesperson for Churchill Downs told Horseracing Nation that the track has no plans to alter the result of the 2018 Derby.

3) How did this ever become the mess that it did? And why didn't the CHRB follow its own rules?

Vienna maintains that if the California Horse Racing Board followed it own rules the case would have been cut and dried and dealt with promptly. He maintains that the rules were simple and not open to interpretation. He says that any horse that tested positive for a prohibited substance had to be disqualified.

“It's all very simple,” he said. “All they had to do was follow their own rules. There was never any real determination of what happened after the closed session. The closed session lacked finality and lacked all the indices of true decision making.  There was no notice to the involved parties. There were no witnesses. All you had was Dr. Rick Arthur making the argument that scopolamine was the result of contamination. The problem is the rules in California at the time called for the disqualification of a horse who was positive for a prohibited substance that was in classes 2 through 3, which scopolamine was. They could have correctly absolved Mr. Baffert or any one else of any responsibility and still under law be required to disqualify the horse. That was the gist of our case. That's all we ever asked for. Our case was based solely on the fact that there was prohibited medication in that horse's system and, as a result of that, the rules called for the horse to be disqualified. I don't think it was very confusing at all.”

4) The process dragged on for some 4 1/2 years and if not for the New York Times report, it may never have been known that Justify tested plosive for the substance. Was the CHRB trying to sweep this under the rug?

“I think that is the case,” Vienna said. “In one executive session, they were provided with one side of the story and they wanted it to go away. There is a process in California law that provides for dismissal of a complaint, but if you look at the history of the statute in California it really applies to charges against a trainer and not the dismissal of a disqualification. That would conflict with another statute in California that says that no horse can benefit if they are carrying a degree of a substance in his system.

“Mick, like all of us is worn out, but he is pleased. This happened in 2018 and no one knew anything about it until 2019. That's a tremendously long journey for something. It could have been settled right away if horse racing board simply decided to follow their owns rules.”

Can Full-Brothers Win the Derby Back to Back?

With his win in the GII Remsen S., Dornoch (Good Magic) is on his way to the GI Kentucky Derby, where will try to pull off something that has never been done. He is a full-bother to GI 2023 Kentucky Derby winner Mage and siblings, either full-brothers or half-brothers, have never teamed up to win the Derby.

To show just how difficult that feat is, take Secretariat. His dam, Somethingroyal, produced four foals who made it to the races after Secretariat. They combined to win three races with total earnings of $38,241.

There have been a couple of dams who produced more than one win in a Triple Crown races. Thanks to research done by Randy Moss of NBC Sports, we know that the dam Leisure produced two Preakness winners in Royal Tourist (1908) and Holiday (1914). Better Than Honour was the dam of 2006 GI Belmont S. winner Jazil (Seeking the Gold) and 2007 winner Rags to Riches (A.P. Indy).

As for Dornoch, a lot will have to go right for him to win the 2024 Derby, but at this point in the game, he's far ahead of where Mage was at the same point. The Remsen was Dornoch's fourth career start and with the Remsen, he has added a graded stakes win to his record. Mage didn't start until Jan. 28 of this 3-year-old year and had not won a stakes race coming into the Kentucky Derby.

Noble Indy Makes It Home

Remember the story of Noble Indy (Take Charge Indy), the winner of the 2018 GII Louisiana Derby? He never ran back to that race and wound up being sent to Puerto Rico, where racing can often lead to the worst possible outcomes. Well, Fred Hart, who owned the dam of Noble Indy, Noble Maz (Storm Boot) was determined to bring him back home. Working together with Caribbean Thoroughbred Aftercare Inc., he has made that happen and Noble Indy landed at Old Friends last week. It's worth noting that Mike Repole and WinStar Farms, who were two of his owners during his prime racing days, foot the costs required to transport the horse back to the U.S. It's good to see owners accept the responsibilities that come with providing a good life for their horses after their careers are over.

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