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Old 04-30-2014, 04:01 PM   #107
Jack.Kerr
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Default Interesting reading.

http://sportsillustrated.cnn.com/nba...ban/index.html

SI.com piece outlining the possible scenarios/consequences

Quote:
Sterling suing the NBA and owners

In addition to concern about proper interpretation of the relevant language, some owners may worry about the prospect that Sterling will sue. Sterling, an attorney, is regarded as one of the most litigious owners in professional sports. If there is one owner who would sue over expulsion, it's probably him. Sterling could seek a court injunction preventing the NBA from expelling him. Such a move would likely happen immediately after he is voted out. He could also file a lawsuit raising breach of contract and antitrust claims.

A breach of contract claim would contend that Sterling's contract with the NBA through his franchise agreement has been unlawfully severed. The NBA, however, is poised to stress that owners agree to language limiting opportunities for owners to sue the NBA and fellow owners. In their franchise agreements, NBA owners agree to "waiver of recourse" verbiage. The language has the effect of eliminating opportunities for owners to pursue legal recourse against the NBA and fellow owners.

An antitrust claim would likely center on both California and federal antitrust laws, and contend that the NBA and its teams have conspired in an anticompetitive way to oust Sterling and make him sell his team at below-market value. Sterling would likely cite reports the NBA may be interested in Magic Johnson buying the Clippers as evidence the league is trying to force a sale to a specific buyer, rather than permitting open bidding. Sterling might also highlight Silver's remarks today that he's confident owners will oust him as evidence of collusive activity between Silver and the owners. If Sterling were to sue under antitrust law and prevail, he would also be entitled to treble damages. Several attorneys familiar with NBA litigation tell SI.com that the possibility of an antitrust lawsuit by Sterling is high.

The prospect of Sterling suing could be a source of worry to NBA owners for at least three reasons:

1. Sterling suing over franchise ouster could undermine the lifetime ban. The ban is intended to separate Sterling from the Clippers and the NBA, and as discussed above, Sterling likely has no viable case against it. If, however, Sterling sues over franchise ouster, it would be a high-profile lawsuit and he would remain in the news. Whatever distancing of Sterling is achieved through a ban could be lost in a high-profile case. It is also a case that could last years, as antitrust cases often do.

2. Sterling suing may lead to pretrial discovery, which could be designed in part to embarrass other owners and NBA officials of any bigoted remarks or beliefs on their part. Keep in mind, if Sterling is ousted because of racism, he would likely demand that evidence showing that other owners and officials are also racist be shared. He would use such information to portray his penalty as unwarranted and contradicted by the conduct of those who ousted him. Sterling might request emails and other records from owners and officials that depict them in a negative light. Sterling has owned the Clippers for 33 years, which suggests that he has had many interactions -- including private conversations with league officials and owners. If there are other owners who are racist or bigoted, it stands to reason Sterling knows who they are.

3. If Sterling wins or extracts a settlement, not only could NBA owners be on the hook for an expensive fee, but Sterling would seem victorious. The appearance of him winning in court would greatly detract from the important social message accomplished by the lifetime ban.
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