The Frank McCourt Saga in Los Angeles is like the psycho-killer in one of those “Slasher” movies who just won’t die. In the latest development, the Los Angeles Dodgers have reached an agreement to accept as much as $150 million in loans from Major League Baseball to keep the team afloat as it works its way through bankruptcy.
The deal announced in court papers Friday, does contain language that would not allow the default on this loan to give MLB the right to take control of the team.
Blah, blah, blah…
While the parties submitted their proposed agreement to Bankruptcy Judge Kevin Gross in U.S. Bankruptcy Court in Wilmington, Delaware, the question remains: How long until MLB gets rid of Frank McCourt?
First, the legal aspects…
The proposal (the case is In re: Los Angeles Dodgers LLC, U.S. Bankruptcy Court, District of Delaware, No. 11-12010) was the result of negotiations ordered by Gross after the Dodgers initially tried to accept a loan from a unit of JPMorgan Chase & Co instead of the league. Gross said it was “unclear” how the Dodgers expected to operate “within the framework of baseball” if they were unwilling to cooperate with MLB, adding that the league’s deal would save the team $14 million.
Attorneys for the Dodgers said their hesitation was rooted in covenants included in the deal that could allow MLB Commissioner Bud Selig to seize the team. The Dodgers agreed to negotiate with the league after the league promised to remove the that language.
Now for the business end…
This $150 million has to be used for two things – 1) keep the team operating 2) buy time until the Dodgers can sell TV rights, which should put it on a sound financial footing. However, who knows what will actually happen as long as McCourt and his team of lawyers are in the picture?
Well, guess what? There’s all sorts of other ways Selig can flush the Dodger toilet so the turd known as McCourt. Selig’s hand is around the Dodger throat as long as a federal judge says financing can only come from MLB. Oh, and there’s that whole divorce issue yet to deal with as well.
The bottom line…It is time for McCourt to go. Let’s make it happen.