Does the End Draw Near for Frank McCourt?
The Sport Digest has on two previous occasions reported on the financial problems of embattled Los Angeles Dodgers owner, Frank McCourt. McCourt’s actions in heavily mortgaging the Dodgers’ assets to purchase and to operate the club have been magnified by his long-running divorce case with his wife, Jamie McCourt.
It was reported last week that the Dodgers are reportedly unable to make their May 31 payroll. This was first reported on May 4 in numerous media outlets. McCourt would not confirm or specifically deny the reports. He continues to argue that his current financial problems are caused by Major League Baseball’s refusal to approve a 17 year deal he claims to have negotiated with Fox Sports to televise Dodgers games over the local Fox cable outlet. Major League Baseball recently took over day-to-day operations of the club because of reports of its financial problems.
McCourt on April 29 announced that he had appealed the trial judge’s ruling in his divorce case that the Dodgers are community property and under California law subject to being divided between McCourt and his wife as a marital asset. News reports have placed the indebtedness of the club as high as $600 million. The McCourts have already spent over $20 on legal fees and other costs associated with their divorce.
McCourt has recently hired David Boies, the same attorney representing the National Football League owner is their appeal of a federal court ruling ending their lockout of players in their ongoing labor dispute. This case is currently before the Eighth Circuit Court of Appeals. Mr. McCourt continues to hemorrhage money in spite of his financial woes. On May 10 he will be attending a quarterly meeting of all owner’s in New York City. It should be quite interesting to see how he is received by his peers during these meetings.
Isn’t it ironic that the same attorney trying to save Frank McCourt from himself is trying to re-gain home court advantage for NFL owners in their battle against their employees? The business of sports is full of surprising twists and turns.