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NHL vs MSG and the New York Rangers

From Neil Best at Newsday.com:

The Sports Business Journal reported this morning that the NHL is taking legal action against the Rangers that could result in an attempt to take ownership of the franchise away from MSG.

No, really. Or so it says here:

“The NHL has proposed disciplinary proceedings against MSG that could result in the suspension or termination of their ownership of the NHL Rangers, according to a draft letter written by NHL Commissioner Gary Bettman that was filed in New York district court late yesterday. The letter, part of the league’s ongoing legal fight against MSG, alleges that MSG – by suing the NHL – has violated the league constitution.”

more

Update 12:29pm ET: The complete text of the SBJ story has been reprinted at the Sporting News today.

Update 2:22pm ET: Press release from the NHL (below)

Update 2:39pm ET: Eric Duhatschek in the Globe & Mail’s hockey blog:

The war between the Rangers and the NHL started over who controls the rights to new media and the potentially lucrative revenue streams that it produces now and down the road. Three times, the Rangers’ lawsuits have gone to court; three times the NHL won its case. Instead of understanding the old maxim that three strikes and you’re out, the Rangers have challenged the NHL on an anti-trust basis – essentially arguing that everything the league does is unlawful.

In effect, Wednesday’s filing by the NHL is a counter-attack – what a source with knowledge of the situation described as “trying to put the Rangers at risk” after failing to abide by previous court rulings. NHL commissioner Gary Bettman, passing through the lobby of a downtown hotel, declined comment. However, sources said the league was asking the court for permission to fine, suspend or in a worst-case scenario, forfeit the franchise, if it MSG persists in its action.

Update 3:45pm ET: NYR respond to the lawsuit. (noted below)

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NYR response, courtesy of Sam Weinman at Rangers Report:

“Not surprisingly, the NHL is once again proving why an independent judge must address our claims. Despite trying to resolve our differences privately, the League has responded with excessive fines and now threats that have nothing to do with the merits of our position. Every American citizen or business has a right to go to court and have its dispute heard by an impartial judge. The NHL shouldn’t be afraid of the judicial system. We will pursue our case vigorously and will not be intimidated by the NHL’s bullying tactics.”

Filed in: NHL Teams, New York Rangers, NHL Talk, NHL Business of Hockey | KK Hockey | Permalink
 

Comments

Avatar

as a rangers fan i would be happy for this to happy. many new yorkers would be very pleased to have the dolans lose some of the power which they now hold in the NY sports world . . . as they continue to bury the knicks, and try to squeeze every possible dollar out of the rangers by raising ticket prises a ridiculous amount both for the season and playoffs.

bring on the new ownership!

Posted by mike from ny on 06/19/08 at 10:45 AM ET

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Mike, you do realize that if the League wins this and there are new owners there will be no more NY Rangers, my friend.  Dolan is not going to let another owner operate our of the Garden, this will lead to the Rangers moving and that I AM NOT happy about because I am a NYR season ticket holder.  I hate Dolan as much as anybody else but I do not want to see my team move.

Posted by biskitt from ny on 06/19/08 at 02:08 PM ET

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i give rangers and their owners for standing up to Bettman’s cadre of morons. it would be a brilliant idea to move a team away from your #1 market.

i think teams should have the rigths to market their own teams and be able to make money off it. why should a big market team that is successful in selling their brand have to share with small market teams.

Posted by FlyersFan on 06/19/08 at 06:08 PM ET

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I applaud Bettman for taking on the Rangers and their attempt at hijacking revenue. It won’t come down to them losing the team, it is legal wrangling to force the Rangers to conform to the league rules. Bettman would never take this on if he didn’t have total support from the other owners.

Posted by Tero from Tacoma on 06/19/08 at 09:46 PM ET

Doogie2K's avatar

Mike, you do realize that if the League wins this and there are new owners there will be no more NY Rangers, my friend.  Dolan is not going to let another owner operate our of the Garden, this will lead to the Rangers moving and that I AM NOT happy about because I am a NYR season ticket holder.  I hate Dolan as much as anybody else but I do not want to see my team move.

I hear there’s a facility in the Meadowlands that lacks a hockey tenant at the moment. wink

Posted by Doogie2K from Calgary on 06/19/08 at 10:50 PM ET

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