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“Perjury must never be profitable,” the majority wrote in the new decision. “Tailwind Sports Corp. and Lance Armstrong have justly earned wide public condemnation. That is an inadequate deterrent. Deception demands real, meaningful sanctions.”

SCA President and founder Bob Hamman praised the ruling.

“It is hard to describe how much harm Lance Armstrong’s web of lies caused SCA but this is a good first start toward repairing that damage,” Hamman said.

Armstrong argued his original settlement could not be overturned under state law. The arbitration majority said the $10 million was a penalty for Armstrong’s lying and efforts to intimidate or coerce witnesses in the previous case.

“This award is unprecedented,” Herman said.

Herman noted Lyon’s dissent said the panel was not deceived in the original settlement when it signed off on a voluntary agreement entered by SCA.

“There is no Texas case or statute that allows for this type of sanctions motion nine years after the award was given,” Lyon wrote in his dissent.

Lyon’s dissent also attacked SCA, writing that in 2005 the arbitration panel had found the company to have engaged in selling insurance in Texas without a license, which could have exposed it to more than $22 million in damages under Armstrong’s original claims.

“No party in this case came here with clean hands,” Lyon wrote.

“The final decision by the panel reminds me about the ’do right rule.’ It doesn’t matter what the law is, let’s just do what is right,” Lyon wrote. “Arbitrators, like judges, don’t have that luxury, and the Panel exceeded its authority by indulging itself here.”

Armstrong also is being sued by the federal government and former teammate Floyd Landis in a whistleblower fraud action over his team’s sponsorship contract with the Postal Service. That case is not set to go to trial before 2016.