Nov 23, 2013, 12:46 PM EDT
Jim Crane’s Houston Astros ownership group filed a lawsuit late Thursday against former Astros owner Drayton McLane Jr., McLane Champions, LLC, Comcast Corporation and NBCUniversal (NBC Sports is owned by Comcast/NBCUniversal).
The suit, filed in Texas state court, alleges that, at the time of Crane’s ownership group’s 2011 acquisition of the Astros and McLane’s interest in the regional sports network CSN Houston, the defendants engaged in fraud and conspiracy and negligently misrepresented and omitted information relating to the network’s value and its prospects.
The lawsuit also accuses McLane Champions of breach of contract.
The Astros and McLane’s share of CSN Houston were reportedly sold for $615 million. CSN Houston launched in October 2012 and started televising Astros games in 2013.
“These misrepresentations have caused us an enormous loss, and they’ve hurt our fans and hurt our city of Houston,” Crane said during a Friday press conference. “Because of these misrepresentations, we are stuck in a network deal that cannot get off the ground.
“So we now face a situation where we accept millions of dollars of loss each year with damage to the franchise and the city, or we fight back.”
I haven’t seen the lawsuit yet, but Jim Crane is highly experienced and has been in business over 30 years. He is surrounded by top tier accounts, attorneys, operators and marketers and he has participated in transactions even larger than this one. His experts meticulously examined the Houston Astros financial position. My team was absolutely transparent and produced thousands of pages of documents; we provide answers to explanations to all of their questions. Any suggestion otherwise is absolutely false. As an example, today, Jim Crane reportedly stated that he did not receive the business plan for CSN Houston prior to the purchase. That is not true.
“This was one of the most complex and scrutinized transactions of my business career. Jim’s group had all the facts. In fact, he told the Chronicle this September that the regional sports network had ‘good long-term value.’ The Accusations that have been reported are hollow and appear to be an attempt to recreate the facts,. We will respond in a vigorous and persuasive manner to the lawsuit.
NBCUniversal also released a statement:
“Comcast/NBCUniversal vehemently rejects any claim of wrongdoing asserted by the Astros. This litigation outside the bankruptcy proceedings is a desperate act, committed during a period in which Mr. Crane and his team of sophisticated advisors have been granted by the Bankruptcy Court an opportunity to explore and effectuate solutions to the Network’s serious business problems. Instead, it appears that Mr. Crane is suffering from an extreme case of buyer’s remorse, and aiming to blame the Network’s challenges on anything but his own actions. Comcast/NBCUniversal looks forward to vindicating itself in this litigation and also remains committed to a reorganization of the Network in Bankruptcy Court.”
Crane told the Houston Chronicle that he doesn’t have buyer’s remorse and is “very happy we own the team and will continue to be happy and we’ll work our way through this, and the rest of it, I guess we’ll sort it out in court.”
Sep 17, 2014, 11:20 AM EDT
“Hey honey? I have some good news and some bad news . . . “
Sep 17, 2014, 10:53 AM EDT
Or, at the very least doubted his ability to turn the Orioles around.
Sep 17, 2014, 10:23 AM EDT
He has decided to add difficulty to it. Like, playing second base while sitting on his but in the infield dirt. Or starting double plays from his stomach, for example.
Sep 17, 2014, 9:40 AM EDT
Great Moments in Southern Hospitality.
Sep 17, 2014, 9:13 AM EDT
Rays pitchers have hit Yankees batters five times in the past week. Joe Girardi is sick of it.
Sep 17, 2014, 8:55 AM EDT
It’s musical chairs time in the Pacific Coast League.
Sep 17, 2014, 8:31 AM EDT
And the Braves and their announcers bear some of the blame for this baloney.
Sep 17, 2014, 7:08 AM EDT
Beer showers on the Beltway as the Nats and Orioles both clinch
Sep 17, 2014, 12:34 AM EDT
CSNBaltimore.com has some exclusive video of Orioles manager Buck Showalter getting showered with beer and champagne after his club clinched the American League East title on Tuesday night …
Sep 17, 2014, 12:07 AM EDT
Bryce Harper came prepared for the Nationals’ division title celebration with a custom helmet sent to him from the Washington, D.C. Fire Department. These photos come courtesy of CSNWashington.com …
Sep 16, 2014, 11:41 PM EDT
Watch as Astros second baseman Jose Altuve sets the franchise record for most hits in a season with a single through the middle of the infield on Tuesday night at Minute Maid Park in Houston …
Sep 16, 2014, 10:53 PM EDT
Watch the Orioles make the final out of Tuesday night’s AL East title clincher …
Sep 16, 2014, 10:10 PM EDT
A first in 17 years.
Sep 16, 2014, 10:05 PM EDT
Congratulations to the Washington Nationals, who’ve clinched their second NL East crown in three years.
Sep 16, 2014, 9:49 PM EDT
Derek Jeter’s retirement tour continued on Tuesday night at Tropicana Field with another set of cool gifts. Along with a $16,000 check for his Turn 2 Foundation and a framed Don Zimmer jersey presented by the widow of the former Yankees bench coach, Jeter also got this custom 16-foot pinstriped kayak …
Sep 16, 2014, 9:04 PM EDT
Dodgers shortstop Hanley Ramirez has been scratched from Tuesday’s game against the Rockies due to an elbow strain. It’s not clear when he suffered the injury or how serious it might be.
Sep 16, 2014, 8:40 PM EDT
Lagares has dramatically out-performed expectations offensively this season, hitting .283 with four homers and a .706 OPS in 115 games, and his defense in center field has always been Gold Glove caliber.
Sep 16, 2014, 8:20 PM EDT
Castillo played a total of 10 games in the minors, participating in the playoffs at three different levels while hitting a combined .297 with four doubles and two steals.
Sep 16, 2014, 8:02 PM EDT
Tony Gwynn Jr. is batting leadoff for the Phillies on Tuesday night in San Diego. It’ll be his first appearance in his hometown since the death of his Hall of Fame father.
Sep 16, 2014, 7:37 PM EDT
Angels right-hander Matt Shoemaker departed his sensational start Monday night against the Mariners after experiencing discomfort on the left side of his rib cage in the top of the eighth inning. He underwent an MRI on Tuesday and the diagnosis is in …
- And That Happened: Tuesday’s scores and highlights 61
- Jose Altuve breaks Craig Biggio’s franchise record, tallying his 211th hit of the season 9
- Orioles beat Blue Jays to clinch AL East title 37
- Tanner Roark dominates as Nationals clinch NL East 22
- Masahiro Tanaka to pitch on Sunday 11
- Astros shut down George Springer for the season 0
- The Blue Jays will make a qualifying offer to Melky Cabrera 26
- And That Happened: Monday’s scores and highlights 34
- Chris Davis suspended 25 games for amphetamine use (92)
- A few thoughts about the discrimination lawsuit against the Mets (91)
- Giancarlo Stanton diagnosed with multiple facial fractures and dental damage (91)
- Bud Selig can’t remember the last domestic violence incident in Major League Baseball (88)
- A couple of initial thoughts on the Chris Davis suspension (83)