Eric Williams covered the Sonics' last season in Seattle. A Tacoma native, Eric graduated from Mount Tahoma High and the University of Puget Sound.
Other sites of interest:
| Sun | Mon | Tue | Wed | Thu | Fri | Sat |
|---|---|---|---|---|---|---|
| << < | > >> | |||||
| 1 | 2 | 3 | 4 | |||
| 5 | 6 | 7 | 8 | 9 | 10 | 11 |
| 12 | 13 | 14 | 15 | 16 | 17 | 18 |
| 19 | 20 | 21 | 22 | 23 | 24 | 25 |
| 26 | 27 | 28 | 29 | 30 | 31 | |
- April 2009 (1)
- March 2009 (1)
- February 2009 (11)
- January 2009 (6)
- December 2008 (16)
- November 2008 (4)
- October 2008 (6)
- September 2008 (2)
- July 2008 (9)
- June 2008 (81)
- May 2008 (21)
- April 2008 (48)
- More...
Seeking to protect the league’s interests in Howard Schultz’s bid to regain control of the Seattle SuperSonics, the NBA on Tuesday filed a motion to intervene in the former principal owner’s lawsuit in U.S. Western District Court in Seattle.
Schultz filed suit in April against the Oklahoma City-based ownership group, led by team chairman Clay Bennett, seeking to undo the $350 million sale of the team.
Schultz claims in the lawsuit that Bennett’s group never intended to keep the team in Seattle and cites internal e-mails revealed in litigation between the city of Seattle and the new ownership group as evidence of the intentions of Bennett and his partners.
Schultz’s lawsuit cites breach of contract, fraud and negligent misrepresentation. It seeks to rescind the sale of the team on the grounds that Bennett and his partners did not live up to a “good faith, best efforts” provision in the sale agreement to spend 12 months trying to negotiate a new arena deal in the Seattle area.
Hours before an expected ruling from U.S. District Court Judge Marsha Pechman last week, the city and the Sonics agreed to a settlement that could bring $75 million to the city and allowing Bennett’s group to break its lease with KeyArena and move the team to Oklahoma City.
However, when the city agreed to settle its case against the team, the settlement included no provision to dismiss Schultz’s lawsuit.
Should Schultz continue his court action and win, Wednesday’s settlement goes away and Bennett could be forced to return the team to Seattle, while city would be forced to refund the $45 million payment it received in the settlement.
The two sides in the Schultz suit are scheduled to meet in front of Pechman, the same judge who presided over the KeyArena lease case, at the U.S. federal courthouse in Seattle on Friday.
A motion filed by Ralph Palumbo of the Summit Law Group, a Seattle law firm representing the NBA, claims the Schultz suit skirts the league’s constitution, putting the franchise’s stability at risk.
“These claims for relief are fundamentally inconsistent with the most basic rules and regulations governing the operations of the NBA and its member team, which do not authorize or permit ownership transfers without the express approval of the NBA,” Palumbo states in the filing.
The motion goes on to argue that the Schultz group, operating as Basketball Club of Seattle (BCOS), seeks relief from the Bennett group’s Professional Basketball Club (PBC) that is barred by league bylaws.
“The NBA therefore has a strong and compelling interest in the outcome of this matter and moves to intervene as a matter of right.”
The Schultz lawsuit seeks to put the team in a trust and have it sold to Seattle-based owners. However, according to the league’s filing, the NBA’s constitution states that if a receiver is appointed for a team, the league’s Board of Governors has the right to place the team in the control of NBA commissioner David Stern.
In another motion filed on Tuesday, NBA general counsel Richard Buchanan, requests an oral argument on the matter for Aug. 1. Buchanan states in his filing that according to Article 5 of the NBA constitution “no membership … may be [sold, assigned] or otherwise transferred in whole or in part, directly or indirectly, except in accordance with and subject to the … provisions of this Article 5.”
Buchanan goes on to state that this clause in the league constitution contains several procedures that must be followed in order to transfer the ownership of an NBA team, including an application to the commissioner, detailed information about the proposed transfer and approval by the Board of Governors.
Tim Frank, a spokesperson for the NBA, declined to comment. Richard Yarmuth, an attorney representing Schultz in the lawsuit, also declined to comment.
The Associated Press contributed to this report.
COMMENTS:
Now they are going to claim that the suit is dropped or Seattle will NEVER get a team and blah blah blah. You suck Stern. You are a slimy, conniving, weasely piece of crap. I don't want another team. I don't want to steal the Grizzlies from Memphis. You put the team there and you should have to live with it. You chose to award that city a team. Deal with it. Let the rest of your billionaire's club cover the cost. They can do the same thing when the Oklahoma City Sonics falter as well.
I can't wait for the day the NBA goes the way of the Ford Pinto and the McDLT sandwich. With Stern at the helm that day can't be too far off.
“These claims for relief are fundamentally inconsistent with the most basic rules and regulations governing the operations of the NBA and its member team, which do not authorize or permit ownership transfers without the express approval of the NBA,” Palumbo states in the filing.
that is my favorite portion of the article! What a joke! Stick it to them Schultz!!! Make Slime ball Stern cry and pee his pants!
Hello jegggo,
Do you really believe "we still have two losers teams still here"?
Seriously?
How many times have the Seahawks won the NFC West in a row now? Including a Super Bowl appearance and an overtime loss that could have put them in another NFC title game?
Perhaps I misunderstand. Are you working under the premise that there are 31 loser teams each year in the NFL. Is this Ricky Bobby logic? If you're not first, you're last?
Seriously! I do think we still have two loser teams here and I will explain why I think so. Have you seen what the Mariners are doing lately? Have you seen what the Mariners have done in the past? I rest my Case there. The Seahawks? It is of my opinion that anything less then the Championship of any sport is not to be considered a winning year, because truly that is what all teams play for a Championship,unless you are of the belief that winning the NFC West (which is the equivolent of the pantywaist division of the NFL) is winning then so be it. Remember when the Seahawks lost in the SuperBowl it just made them a first place loser. So by all account in my mind yes there are still two losing teams in Seattle. Till the Mariners win the World Series, and The Seahawks win the Super Bowl they will always be losers. Oh of course unless you measure winning by just having a year over 500. If this is the case then yes you have winners here in Seattle NOT!
GO SEATTLE STORM!!!! The Storm will win a WNBA trophy this year!
GO SEATTLE THUNDERBIRDS! All the way to the Memorial Cup!
Go SEATTLE SEAHAWKS! Lets get a Superbowl ring for Holmgren!
and get the heck out of this state jegg! We dont need fans like you!
HEY TNT, TAKE THE DAMN STORY DOWN FROM THE WEB PAGE!!!!
GET UP TO DATE! YOU REMIND ME OF THE BELLINGHAM HERALD (oops, that's right your parent company owns it too)
You guys need to be UP TO DATE on stories on this site... of course the same thing happens with other stories too, they show up on the TNT a week after The Times or PI
Comments are not allowed from anonymous visitors. Please login or register to comment.
