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The sole arbiter in the ring in all fighting sports, bouts or competitions shall be a licensed referee, who shall govern the bout or competition in accordance with rules adopted by the commission. The referee shall have full power to stop the bout or competition whenever the referee deems it advisable because of the physical condition of a contestant, when one of the contestants is clearly outclassed by an opponent, or for other sufficient reason. The referee shall have discretionary power to declare forfeited any prize, payment, or purse or any part of a prize, payment, or purse belonging to the contestants or to one of them if, in the referee’s judgment, the contestant or contestants are not or were not competing in good faith.