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 4, 2015, 10:46 AM EDT
Headed for a quick divorce.
Sep 4, 2015, 9:12 AM EDT
Holy moly, these guys are awful.
Sep 4, 2015, 7:29 AM EDT
Carlos Gonzalez hit two homers for the second straight night.
Sep 3, 2015, 11:04 PM EDT
Bryce Harper didn’t have an official at-bat tonight, but he still made a major impact in the Nationals’ 15-1 blowout victory over the Braves.
Sep 3, 2015, 11:00 PM EDT
Stroman threw 4 2/3 hitless innings in his first minor league rehab start.
Sep 3, 2015, 10:29 PM EDT
Tigers shortstop Jose Iglesias was forced to exit Thursday’s game against the Royals in the third inning when he was hit in the hand while trying to drop down a bunt.
Sep 3, 2015, 9:50 PM EDT
The Dodgers called up top prospect Corey Seager today and manager Don Mattingly isn’t wasting any time getting him into the starting lineup…
Sep 3, 2015, 8:46 PM EDT
Murphy had a stint on the disabled list earlier this season due to a left quad strain.
Sep 3, 2015, 7:37 PM EDT
Strasburg left his most recent start on Sunday with discomfort in his upper back, but he’s on track to make his return for a crucial series against the Mets next week.
Sep 3, 2015, 6:50 PM EDT
McCutchen feels “a little sore” and has been “hobbling around a little bit,” so he’ll take a rest before a big series against the Cardinals this weekend.
Sep 3, 2015, 6:13 PM EDT
ESPN has pulled Schilling from their broadcasts for the remainder of the season.
Sep 3, 2015, 4:31 PM EDT
Sentiments like these — of which I’ve seen a few — makes me wonder about Ruben Amaro.
Sep 3, 2015, 4:07 PM EDT
His glute injury proved minor.
Sep 3, 2015, 1:51 PM EDT
He was suffering from dehydration yesterday.
Sep 3, 2015, 1:05 PM EDT
Finally, Tom Brady and Boston sports fans get a win!
Sep 3, 2015, 12:46 PM EDT
Shut down for the season with a hip injury.
Sep 3, 2015, 12:18 PM EDT
This is must-click link material.
Sep 3, 2015, 11:29 AM EDT
Kevin Jepsen will fill in at closer.
Sep 3, 2015, 10:38 AM EDT
Not that either of those things are valid reasons to keep a guy out of the Hall of Fame.
Sep 3, 2015, 10:13 AM EDT
Considered by many to be the No. 1 prospect in baseball.
- And That Happened: Thursday’s scores and highlights 45
- Bryce Harper walks in all four of his plate appearances, scores four runs 21
- ESPN pulls Curt Schilling off broadcasts for rest of regular season and Wild Card game 120
- David Ortiz is more likely to be boned in Hall of Fame voting for being a DH than for PED stuff 130
- And That Happened: Wednesday’s scores and highlights 74
- The Marlins are going to change everything except their biggest problem this offseason 53
- Drooling over Miguel Sano’s incredible numbers through 50 career games 36
- Matt Williams puts up another strong performance in his quest to get himself fired 105
- Sarah Palin sticks up for Curt Schilling, tells ESPN to “stick to sports” (266)
- David Ortiz is more likely to be boned in Hall of Fame voting for being a DH than for PED stuff (130)
- ESPN pulls Curt Schilling off broadcasts for rest of regular season and Wild Card game (119)
- Matt Williams puts up another strong performance in his quest to get himself fired (105)
- David Ortiz tweets his happiness about the Deflategate decision (100)