The Deal
Sunday, November 22, 
5:23 am
Alix Partners LLC presents Middle Market Review

Feuding McCourts could force LA Dodgers sale

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dodgers125x100.gifWhile the New York Yankees and Philadelphia Phillies battle it out in the World Series, the Los Angeles Dodgers' owners are fighting amongst themselves in a battle that could result in the sale of the National League West franchise.

The fight centers around a controversy of who owns the Dodgers. Husband and wife Frank and Jamie McCourt, who are in the process of a divorce, each claim ownership of the team. Frank McCourt claims he's the sole owner while his wife says she is an equal co-owner. If a judge decides a property agreement that Jamie McCourt signed in 2004 giving her husband ownership is invalid, many experts say the court can order the sale of the team.

Jamie McCourt's attorney said that his client has already lined up financing for a possible bid to buy out her future ex-husband. "Whatever it takes to buy Frank McCourt out, she's got," attorney Bert Fields told the Los Angeles Times.

But Frank McCourt is not budging. "Congratulations to her for being a prospective buyer," attorney Marshall Grossman told the Times. "There is no seller. Perhaps she could explore some other sport."

Should a court order a sale, one hurdle is that Major League Baseball owners still need to approve the bidder for the fourth-most valuable franchise in the league, according to Forbes. Additionally, the team could draw outsiders who missed out on other opportunities. Teams recently on the market include the Chicago Cubs, which was sold to the Ricketts family; the San Diego Padres, which was sold (also because of a divorce) to Jeff Moorad; and the Texas Rangers, which is nearing a sale.

Forbes values the Dodgers at $722 million, a significant jump since the McCourts acquired the team five years ago for $431 million. - Gerald Magpily





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