Kukla's Korner Hockey
Next entry: It’s A Sidney-Fest
Previous entry: Avalanche Looking For Turnaround
Tuesday Should Be Fun In Phoenix
by Paul on 08/08/09 at 07:46 AM ET
Comments (9)
from David Shoalts of the Globe and Mail,
Declarations filed with the U.S. Bankruptcy Court last night by the NHL on the heels of filings by Phoenix Coyotes owner Jerry Moyes and prospective buyer Jim Balsillie promise that what was supposed to be a scheduling hearing next Tuesday will be a donnybrook.
Moyes and Balsllie fired first when they asked the court to rule at Tuesday’s hearing that the NHL has to turn over documents relating to the sale and consent to the examination of commissioner Gary Bettman and deputy commissioner Bill Daly by Moyes’ and Balsillie’s lawyers.
The NHL fired back by filing a lengthy argument that Balsillie’s $212.5-million (all currency U.S.) bid for the Coyotes should be rejected by the court because Balsillie was already rejected as an owner by the NHL governor. The league’s lawyers said in the filing, backed up by declarations from Boston Bruins owner Jeremy Jacobs, the chairman of the league’s board of governors, and from Minnesota Wild owner Craig Leipold, that the NHL’s constitution and by-laws should be upheld ahead of the bankruptcy code and anti-trust law.
Filed in: NHL Teams, Phoenix Coyotes | KK Hockey | Permalink
Comments
Go Jim Go
Posted by FlyersFan on 08/08/09 at 01:12 PM ET
My favorite quote:
“The NHL board of governors has unanimously voted that Mr. Balsillie is not qualified as a matter of character and integrity to be the owner of an NHL team,” the league’s declaration said.”
Ah, the NHL Board of Governors—the ultimate judges of character and integrity.
Posted by jvwalt on 08/08/09 at 04:32 PM ET
Don’t get your hopes up, FlyersFan.
Posted by Moq from Denmark on 08/08/09 at 04:33 PM ET
So…what?!? If some sheik wants to buy a team and have them play in Dubai, because he’s going to pay the most that means we get the Abu Dhabi Camelhumpers? Sure…an extreme example but Judges shouldn’t have any discretion in granting a team, that was given concessions to form in a certain place, to a guy who’s going to move the team somewhere else to fulfill a powertrip (because that’s what it is). Balsillie only wants to own a team so he can pump up his ego…he’s acting like a French Canadian.
I realize Canadians are bitter because they haven’t won a cup in over 15 years but buying all the craptastic American teams and moving them to places like Saskatoon isn’t going to solve that problem.
Posted by stoneman from Vegas on 08/08/09 at 06:55 PM ET
stoneman has a point. In my opinion, Balsillie’s only chance of securing the franchise will be the collapse of the alternative bids by Reinsdorf and Ice Edge Holdings, ie. the inability to negotiate a compromise with the city of Glendale and raising money, respectively. That’s isn’t completely impossible, but I don’t think has a lot of solid legal footing to enforce an unwanted owner with franchise upon the NHL. Admittedly, I’m not a lawyer so it’s mostly conjecture on my part.
I wrote a short fictitious news story at another website. Here Balsillie wins the bidding for Phoenix Coyotes, but is forced to chose Anchorage as a relocation city in order to join the KHL. That might be just as likely as the Hamilton Coyotes in the NHL.
Posted by Moq from Denmark on 08/08/09 at 07:57 PM ET
How anyone (this means you, Bettman) can actually call Reinsdorf’s “bid” a fair bid is beyond me.
Posted by mrfluffy from Long Beach on 08/08/09 at 08:06 PM ET
How anyone (this means you, Bettman) can actually call Reinsdorf’s “bid” a fair bid is beyond me.
it happens if your ‘professional’ league is runned by abunch of idots. yeh, i know Balsllie went the sneaky way of getting another team in canada but at this point the league should let it go and save face. this whole situation the clippers and pirates look like genuises.
Posted by FlyersFan on 08/08/09 at 10:59 PM ET
It is worth noting that the difference between the $148M by Reinsdorf and the $212.5M by Balsillie is the money given to Moyes, the one who helped run the team into the ground in the first place. “Ordinary creditors” will get the same from either bid, which makes the Reinsdorf bid just as legitimate for the majority of creditors.
The insinuation that “highest bid should win” isn’t as clearcut in this case. This isn’t an antique auction where people compete for furniture and paintings. And as far as I’ve read about the “chapter 11” process, the creditors have to approve the proposed reorganisation, and can ultimately force liquidation if the result isn’t satisfactory. So I don’t see Reinsdorf getting control if his bid doesn’t satisfy creditors compared to other alternatives.
But to repeat from earlier, I’m not a lawyer (and I haven’t read everything there is to know about “Chapter 11”).
Posted by Moq from Denmark on 08/09/09 at 08:00 AM ET
Add a Comment
Please limit embedded image or media size to 575 pixels wide.
Add your own avatar by joining Kukla's Korner, or logging in and uploading one in your member control panel.
Captchas bug you? Join KK or log in and you won't have to bother.
Commenting is not available in this weblog entry.
Most Recent Blog Posts
Video-Shane Lehman, Always A Hockey Player
Making Peace At The Winter Classic
You Have A 2 1/2 Hour Window To Do What You Do
About KK Hockey
Paul Kukla founded Kukla’s Korner in 2005 and the site has since become the must-read site on the ‘net for all the latest happenings around the NHL.
From breaking news to in-depth stories around the league, KK Hockey is updated with fresh stories all day long and will bring you the latest news as quickly as possible.
Email Paul anytime at .(JavaScript must be enabled to view this email address)
When learning from experts it’s best to learn personally from them, or from their blog. We can provide that with poker lessons blog, your home to learn poker personally.
Do you get shocked from the luck in the game of poker? Stop getting shocked and start being a Poker Shoker
Make extra cash while playing online poker. Rakeback is free and comes with rake races.
Kukla’s Korner is always a free service for readers, but it costs some money to maintain. If you’re ever in a position to donate a few dollars to help out, we’d be very appreciative.
Completely ignoring all details of this particular case, it would be a mistake for the NHL to think that groups should be able to create constitutions and by-laws that supersede the laws of the country. You could argue that those laws don’t come into play in this case, but that’s the limit. And yes, this is not a direct quotation from Bettman and the NHL, but still a notion that should be put to rest quickly.
Posted by SENShobo from Waterloo, ON on 08/08/09 at 07:57 AM ET