The NBA might not expand. Balmer is looking at waiting at least 3-6 years to get the Bucks and potentially becoming the NBA’s arena boogieman like the NFL has used LA for a very long time. The Maloofs are nuts and spiteful people. The NBA knows it has to do something about owners like Shinn and the Maloofs going forward. Stern always has the best interest in the league clause, but there was talk about the bylaws being amended after this process to address owners like the Maloofs.
I think the odds of Balmer suing have gone from 0-5% to more like 20%. And with that … the NBA might have to go nuclear this week to protect itself.
Possession isn’t 9/10 of the law but it matters a lot on a lot of fronts. Plus, conduct before a lawsuit is filed is more easily defended than conduct after. So, the league probably would grab the team before the suit is filed. Plus, it avoids the possibility of Balmer antagonizing this market for a year or trying to pull a Clippers to LA right now on the ground that he isn’t bound by the bylaws yet but the league can’t legally stop the sale. The league is going to have a hard time “calling” the Maloofs loans because it looks spiteful retaliatory at this point.
Balmer thinks his anti-trust suit is clean. The NBA has a monopoly. I offered the most for the Kings but was not permitted to buy so the NBA can perpetuate their publicly subsidized monopoly.
That’s fine. But you picked a bad partner. If I’m the NBA, the defense has very little to do with the Seattle market. I litigate what the Maloofs did to Sacramento, who is a limited “partner” based upon the loan, 30 years, and a 270 million dollar public / private partnership. The NBA is going to be around forever. Like any business, we have to take the long view on where we put franchises. The Maloofs damaged their franchise, antagonized the fans, and don’t want to be there. Yet, our customers of 30 years still want us to be there. So we blocked the move and found new owners for the franchise. Balmer wanted to move, so he wasn’t an acceptable buyer. We took the top local bid, just like we did in New Orleans . It’s a defense that could persuade a jury. This is not the Raiders to LA. Oakland wasn’t going to build a new facility, and Al wasn’t campaigning against efforts to build him one. The Maloofs stunt for Q&R in the rail yard, $6 burgers, NY press conference, holding hands with KJ, ect. all comes in. The NBA knows a lot based upon the marketing takeover last summer and can prove neglect. They know where all of the bodies are buried.
Probably a 50/50 case.
It should be noted, this defense is the same if the league is defending grabbing the team under the best interest clause, not just defending the blocked sale. And they cut out all of the horrible and crazy things the Maloofs and Balmer could pull for 1-3 years.
Either the NBA allows Balmer to push them around or:
They vote something like 25-5 to deny relocation.
Balmer can’t get approved on any of this three proposed purchases because he’s buying solely to move and his conduct over the past 36 hours. This vote isn’t close 27-3 or 29-1.
Maloofs are encouraged to take local offer and then asked if they want to take it.
If they say no – based upon what the NBA picks on Monday: (a) Stern reclaims the team based upon the best interest clause; or (2) the owners amend the bylaws in Dallas to account for owners like Shinn and the Maloofs, and then reclaim the team under both the new bylaw and the best interest clause.
I’m not sure that happens, but it’s now on the table. Way to go George.
Next, Sacramento is told to break ground. If Balmer sues, it’s going to take at least 18-24 months to get a verdict. Most likely, he’s not getting a preliminary injunction. If the wins at trial, the league can make a really strong argument that expansion is extremely damaging to the league and costs each franchise many millions over time. So Balmer should be compensated just with money. If that carries the day, Balmer gets a check for $150 million and his fees. He never gets a team. Seattle doesn’t get a team for at least 15 years.
If the Court grants him a team, Sacramento will almost have its arena done. Balmer gets a team. But the King stay in Sac, in some form or the other.
The NBA is way ahead of these clowns. This is a room full of folks like Balmer, and they are led by a commissioner who wants this to happen, is never pushed around, won’t be around to see a check cut to Balmer if the league loses, and has no problem being the “bad guy.” He’s the same person that was embarrassed and chided on the floor of the Washington senate on this issue 6 years ago. He’s not to be messed with but extremely smart and calculated. They probably picked Dallas because it’s much better on the anti-trust than the 9th circuit (more liberal) and 2nd (extremely pro business). Regardless of where the contract was made, the sale was blocked and probably the team was taken away in Dallas.
I would bet on Sacramento winning. Sacramento only loses if the league thinks the anti-trust laws completely precludes them from having any control over where new owners, who haven’t yet signed the bylaws, put their teams. Otherwise, they will defend that right in Court.
At this point, I think it’s very possible the Maloofs are simply thrown out of the league on Wednesday with a check. I don’t think anything could make me happier.
