Jun 27, 2011, 1:05 PM EDT
The Los Angeles Times’ Bill Shaikin has been reading the bankruptcy filings this morning, and notes that Frank McCourt’s apparent end game here is to get the bankruptcy court to auction off the television rights for the Dodgers, thereby providing them with the cash they need to keep going.
The obstacles: the Dodgers’ current deal with Fox forbids them from negotiating with anyone but Fox until November of next year and, or course, the anticipated objections of major league baseball.
As for the former, the bankruptcy court could simply set that provision aside from the Fox deal or, depending on how they feel about things at the moment, Fox could simply waive it and join in an auction. Major League Baseball, meanwhile, is likely to object to any rights auction, as it, in the normal course, has the power to approve all TV deals. As we learned in the Rangers’ bankruptcy, however, bankruptcy courts often disagree with Major League Baseball with respect to the powers it truly possesses.
What remains problematic, however, is what would happen even if there is a rights auction like McCourt wants. Under the proposed-but-kiboshed Fox deal, a big chunk of the up-front money was going to Jamie McCourt as a means of settling the divorce case. It seems unlikely that the bankruptcy judge would even touch that given that it’s the Dodgers who are in front of him and not the McCourts in their personal capacity (and how a judge could agree that $180 million or whatever off the top to the McCourts serves the best interests of the team’s creditors is beyond me).
So, unless I’m missing something, best case scenario for McCourt here is a rights auction that brings a lot of money, at the end of which he still has to fight with Jamie over who really owns the team. I guess that’s better than nothing, but it’s not exactly where he wants to be either.
- Christian Vazquez to undergo Tommy John surgery 9
- 2015 Preview: Colorado Rockies 4
- 2015 Preview: Minnesota Twins 18
- 2015 Preview: Philadelphia Phillies 30
- 2015 Preview: Cincinnati Reds 47
- The average Major League Baseball salary this year will be more than $4 million — a record 22
- 2015 Preview: Tampa Bay Rays 21
- The Cubs assign Kris Bryant and Addison Russell to the minors, option Javier Baez as well 70
- Ex-Cardinals outfielder Curt Ford was assaulted in St. Louis and told to “go back to Ferguson” (122)
- David Ortiz: “Nobody in MLB history has been tested for PEDs more than me” (118)
- Rob Manfred says it would be hard to reinstate Pete Rose in a limited way (91)
- The MLBPA releases a statement on Kris Bryant, mentions possible litigation (90)
- Did David Ortiz admit to more than he realized with his Players’ Tribune editorial? (88)