Team New Zealand is accusing Luna Rossa of acting in bad faith

The America's Cup challengers have convinced the Arbitration Panel to cancel two inner harbour courses, which would have provided spectacular views for people watching from the shore.

Luna Rossa argues its sailors wouldn't have advance access...so they'd be at a disadvantage.

Team NZ boss Grant Dalton says a deal was done in February, but then Luna Rossa had a change of staff.

He says possibly that message wasn't passed on.

But he says if he wasn't to be charitable, the Challenger of Record is misleading the public and the arbitration panel.