Frank and Jamie McCourt reached a divorce settlement on Friday that "requires Frank McCourt to clear two significant hurdles in order to maintain ownership" of the Dodgers, according to Bill Shaikin of the L.A. TIMES. MLB Commissioner Bud Selig "has to approve a long-term television contract between the Dodgers and Fox, and a judge has to rule that the team is the sole property" of Frank McCourt. The divorce settlement becomes "null and void" if Selig vetoes the TV contract, and two sources indicated that he is "likely to do so." Dennis Wasser, an attorney for Jamie McCourt, said, "It is either yes or no. We should know by Monday or Tuesday." If Selig approves the Fox deal, the McCourts "would proceed to a one-day trial on Aug. 4, to determine whether the team belongs solely to Frank McCourt." If the judge "instead rules the Dodgers are community property, the settlement says the team 'shall be sold.'" The sale "would include the team, the stadium and the surrounding parking lots, with an estimated value of close to $1 billion, and the McCourts would split the proceeds 50-50." If Frank is declared sole owner, Jamie "would receive $100 million, the couple's seven luxury homes and indemnity from any tax liability." In his order, L.A. Superior Court Judge Scott Gordon wrote the Fox contract "is in the best interests of the Los Angeles Dodgers and should be consummated immediately." Shaikin noted Frank "has lobbied Selig to ratify the Fox television contract for months, and the Dodgers have scrambled to make payroll without the funds McCourt anticipated from the deal." With Jamie "waiving her right to challenge the deal as part of the settlement," Frank on Friday said that he "expects prompt approval." If Selig rejects the Fox deal, L.A.-based family law attorney Lynn Soodik believes that Gordon's order "could help McCourt should he file a lawsuit" against MLB (L.A. TIMES, 6/18).
A LOT STILL TO LEARN: In N.Y., Josh Kosman noted MLB "could find itself in the awkward position of funding the team ... but not being able to force a sale." Sources said that Frank McCourt "would likely challenge an attempt to sell the team" (N.Y. POST, 6/18). In L.A., Tom Hoffarth noted if Selig "were to simply stick to his stance" that the $385M Fox plans to loan McCourt as part of the TV deal "should go toward Dodgers' team payroll, he has been handed more ammunition to shoot down this McCourt request." The McCourt settlement states that $20M "will be taken right off the top of that $385 million to cover attorney's fees, plus to use 'as she and he desires.'" Another roughly $80M will be used to "pay off indebtedness." Approximately $50M then will be "put into an account subject to the Court's orders," and the $235M left will be "used for the Dodgers, including repayment to Frank moneys advanced to the Dodgers in 2011, not to exceed $23.5 million." Attorney Lisa Meyer said, "Not much is really going toward baseball, and that's something I find very interesting" (L.A. DAILY NEWS, 6/18). In L.A., Steve Dilbeck wrote, "Friday’s announcement amounts to a lot of nothing, save for some additional arrows in Frank’s quiver when he tries to sue baseball for taking the team from him. Which I still absolutely believe is going to happen" (LATIMES.com, 6/17). In N.Y., Richard Sandomir noted McCourt "backed away Friday from remarks that he and his vice chairman, Steve Soboroff, made shortly after baseball took control of the team about Selig wanting him out as the Dodgers' owner." McCourt on Friday said, "I never bought into that. I was upset, as you would be if someone came in unannounced to take over your business" (N.Y. TIMES, 6/18).
