As Mark noted earlier at LA Biz Observed, baseball commissioner Bud Selig has rejected Frank McCourt's longterm deal with Fox Sports for the future broadcast rights to Dodgers games. Selig comments in Mark's post; here's a statement from Steve Susman, senior partner of Susman Godfrey, on behalf of McCourt:
We are extremely disappointed with the Commissioner's rejection of the proposed FOX transaction which would inject $235 million into the Los Angeles Dodgers. As Commissioner Selig well knows, this transaction would make the Dodgers financially secure for the long term and one of the best capitalized teams in Major League Baseball.
For weeks Major League Baseball has consistently made public pronouncements asserting that Jamie McCourt's agreement of the Fox transaction also was needed; that the Court adjudicating the McCourt divorce grant its approval of the transaction; and the Dodger organization provide all data requested by Major League Baseball to satisfy the so-called investigation ordered by Commissioner Selig last April - the latter also being the excuse he gave at that time for delaying his approval of the proposed FOX transaction.
All the requirements for the Commissioner to approve the FOX transaction were put in place by last Friday: Frank and Jamie McCourt entered into an agreement based on the proposed transaction; the Court ordered, among other things, that the FOX transaction is "in the best interest of the Los Angeles Dodgers and should be consummated immediately;"and all information requested by Major League Baseball under its so-called investigation has been provided by the Dodgers.
Commissioner Selig's letter of rejection is not only a disappointment, but worse, is potentially destructive to the Los Angeles Dodgers, and Major League Baseball. Accordingly, we plan to explore vigorously our options and remedies with respect to Commissioner Selig's rejection of the proposed FOX transaction and our commitment to protect the long-term best interests of the Los Angeles Dodgers.
Selig's move basically kills last week's settlement between Frank and Jamie McCourt.