Frank McCourt Gets Dodgers in Divorce Settlement
Written by Bob Whalon, Monday October 17 2011
Frank and Jamie McCourt have finally reached a settlement in their divorce proceedings, involving the ownership of the Los Angeles Dodgers.
Former Dodgers CEO, Jamie McCourt will receive a payment of $130 million and owner, Frank McCourt will retain 100% of the Dodgers in the settlement. This now allows the bankruptcy case between McCourt and Major League Baseball to continue.
McCourt put the Dodgers in bankruptcy in June after baseball commissioner Bud Selig rejected the 17-year TV contract with Fox that would have paid the team $385 million. Selig claimed that he rejected the deal because more than half of that sum was going directly to the McCouts and not to the team. McCourt's lawyers counter that this deal is the best path out of bankruptcy for the Dodgers.
Selig actually took control of the day-to-day operations of the Dodgers in April before the team filed for bankruptcy. Former Texas Rangers President Tom Schieffer was appointed to monitor the team on behalf of Selig and Major League Baseball. At the time, Selig claimed that he was concerned about the team's finances, since there were questions as to whether or not McCourt would be able to make his payroll obligations.
The bankruptcy battle will begin with a hearing on Wednesday and a judge will consider motions from both sides over four days, starting on Oct. 31.
Jamie McCourt had originally sided with baseball in asking the bankruptcy court to block her husband's bid to auction the Dodgers television rights.
The reason Jamie McCourt agreed to the settlement is that she believes the team can be sold for far more than the $130 million she would be due. Plus, the couple is said to have racked up more than $20 million in legal fees during their nasty divorce proceedings. Now that their divorce settlement is in place, she hopes that the bankruptcy judge sides with Major League Baseball and forces the sale of the team.
There is an offer from a group backed by Chinese government-owned investment banks for $1.2 billion, but Frank McCourt has repeatedly said he will not sell the team. The bankruptcy judge will decide if he gets to make that decision.
Tags:
Recent Dodgers Articles
- Dodgers Sale Finally Finalized
- Showtime Comes To Dodgertown
- Dodgers Batboy Gets Tryout [VIDEO]
- Reports: Tony La Russa Possible Job With MLB
- Bidding begins on Los Angeles Dodgers
- Clayton Kershaw Wins Cy Young
- Mark Cuban Wants to Buy the Dodgers
- Frank McCourt Gets Dodgers in Divorce Settlement
- Fox Sports Sues LA Dodgers
- MLB Attempting to Force Sale of Dodgers
Leave a comment
Not So Fast! To publish your comment, you have to login
Not Registered? Register now as it only take 20 seconds!
Click here to browse
0 comments