Wednesday, September 28, 2011

Dodgers fight MLB request for control of team (Reuters)

(Reuters) ? The Los Angeles Dodgers fought back against Major League Baseball's attempt to wrest control of the bankrupt baseball team from Frank McCourt, asking a Federal court to delay considering the league's request.

The Dodgers, which filed for bankruptcy in June, recently filed its detailed plans to hold an auction for the team's broadcast rights next month. The sale is expected to help refinance the team and allow owner McCourt to hold onto the team after bankruptcy.

But the MLB has disputed the team's need for bankruptcy and questioned McCourt's personal interests and spending. The league filed documents with the court asking to present its own plan for the team, most likely a quick sale. It followed that request up with another seeking to disqualify the team's attorneys.

At the heart of the issue is the league's stance that its baseball contract rules the team while the Dodgers say that bankruptcy law trumps the contract.

A spokesman for the league was not immediately available on Tuesday. The league's attorney was also not available.

In the documents filed on Tuesday, the Dodgers said that the team needed more time to respond to the league's requests, including on the disqualification of Dodgers co-attorneys Dewey & LeBoeuf and Young Conaway Stargatt & Taylor.

It asked for a further delay between a hearing on the disqualification of the attorneys and a hearing on the league's attempt to terminate the Dodgers' exclusive right to present its own reorganization plan, saying it would need time to hire new attorneys if the court agrees with MLB's request.

The Dodgers requested that the bankruptcy court hold an emergency hearing on their request by the evening of September 28 in order to decide whether these issues will be part of a bankruptcy hearing scheduled on October 12.

The Dodgers expect the court to address its motion on the broadcast rights sale during that October 12 hearing.

The case is in re: Los Angeles Dodgers LLC, U.S. Bankruptcy Court, District of Delaware, No. 11-12010.

(Reporting by Caroline Humer in New York; Editing by Derek Caney)

Source: http://us.rd.yahoo.com/dailynews/rss/sports/*http%3A//news.yahoo.com/s/nm/20110927/sp_nm/us_dodgers

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