Judge Rejects Dodgers' 'Trial Of The Commissioner' In Highbridge Loan Hearing

Jul 8 2011 | 12:38pm ET

A federal bankruptcy judge has ruled that the Los Angeles Dodgers don't need information about other baseball teams to prove they need a $150 million loan from Highbridge Capital Management.

U.S. Bankruptcy Court Judge Kevin Gross rejected the Dodgers' discovery request, which sought information on the New York Mets' financial problems and about violent incidents at other baseball stadiums and other teams' television deals, as "overly broad and burdensome." Dodgers owner Frank McCourt had hoped to use the information to prove that baseball had treated other teams more leniently; Major League Baseball took over day-to-day operations of the team in April following the beating of a San Francisco Giants fan in the Dodger Stadium parking lot.

"This is not the occasion to turn the hearing into a trial of the commissioner," Bud Selig, Gross ruled. The hearing on the Highbridge loan will be held on July 20.

Last month, Gross approved the first $60 million of the Highbridge loan. Baseball is opposing the loan, saying it will offer the Dodgers the same financing with better terms.

The Dodgers filed for bankruptcy last month after MLB rejected a proposed 17-year television deal worth $3 billion. Much of those proceeds were to go to settling owner Frank McCourt's divorce with former Dodgers CEO Jamie McCourt, which made the deal contrary to the team's best interests, according to baseball.


In Depth

Malik: The Science of Deal Sourcing 201

Aug 27 2015 | 5:35pm ET

Deal sourcing is understandably a hot topic among private equity firms because it...

Lifestyle

Rolling Art Advisors Marketing Collectible Car Fund As Uncorrelated Alternative

Aug 27 2015 | 6:47pm ET

A new fund is trying to provide investors with greater access to an emerging asset...

Guest Contributor

Agecroft Partners: Hedge Fund Industry Assets to increase $250B by Summer 2016

Aug 11 2015 | 11:29am ET

Assets will continue to flow into the hedge fund industry despite long-standing...

 

Editor's Note