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SBD/Issue 215/Franchises
Attorney Claims NBA Trying To Intimidate Schultz To Drop Suit
Published July 29, 2008
The attorney representing Starbucks Chair & CEO Howard Schultz in his suit to rescind his '06 sale of the Sonics to Owner Clay Bennett claimed that the "timing of the NBA's request to gain involvement in the case and threats by commissioner David Stern to make things 'very expensive' for Schultz if he pursued legal action” showed the league is attempting to “intimidate” Schultz into dropping his suit, according to Greg Johns of the SEATTLE POST-INTELLIGENCER. Attorney Richard Yarmuth noted the NBA "jumped into the fray six days after Schultz ... refused to participate in the settlement agreement that allowed the franchise to move to Oklahoma City." Yarmuth is pushing for "'bifurcation' of the lawsuit, asking the case be split into two phases." The NBA has told Schultz that it "believes he is responsible for all legal fees in any litigation with the [Oklahoma City NBA franchise] based on an indemnification agreement signed at the time of the sale's approval, even should he win the lawsuit" (SEATTLE POST-INTELLIGENCER, 7/29). Stern Friday said in a statement that "'there were no threats expressed or implied' in a conversation he had with Schultz about the former ownership group participating in the previous settlement between the city of Seattle" and Bennett's ownership group (DAILY OKLAHOMAN, 7/29).
SALES FORCE: In Oklahoma City, Darnell Mayberry reports the Oklahoma City NBA team is "close to finalizing ticket prices and contacting fans who signed up for the franchise's ticket request list." Bennett's spokesperson Dan Mahoney said that the sales staff "will be in place next week after much of the department transitions from Seattle" (DAILY OKLAHOMAN, 7/29).







