Its impossible
Stay grounds Hawks, Thrashers
By TIM TUCKER
The Atlanta Journal-Constitution
Published on: 07/07/06
Rockville, Md. — Steve Belkin won't be taking over the Hawks and Thrashers anytime soon, but the other owners will be operating at an apparent competitive disadvantage against the rest of their leagues.
Those are the results of a court order issued Thursday.
The Maryland judge who last month ruled that Belkin is entitled to buy out the other Hawks-Thrashers owners at cost issued a stay of the ruling Thursday, pending appeal, but he attached a significant condition to the stay.
He ordered that, pending appeal, the other owners are to "not initiate the purchase, sale, trade or negotiation of any NBA or NHL player contract ... excluding contracts involving present or future draft picks and contracts for any other player with a contract duration of one year or less."
That means that, during an appeal process likely to last a year, the Hawks and Thrashers cannot sign free agents to contracts longer than one year or trade for players with more than one year on their contracts. That handcuff seemingly will put the teams at a competitive disadvantage vs. other clubs in the trade and free-agent markets.
Montgomery County (Md.) Circuit Court Judge Eric Johnson said in court that the order would not apply to players with whom negotiations already have been initiated, meaning, for
example, that the Hawks apparently are free to complete their planned signing of free-agent point guard Speedy Claxton to a multiyear contract.
As another condition of the stay, the judge ordered the non-Belkin owners to post an appeal bond of $11.4 million — a small fraction of the bond amounts of $120 million to $450 million suggested by Belkin to protect him against any drop in the value of the franchises during appeal.
The judge also ordered that during the appeal process, the other owners can not change the teams' current management without Belkin's consent.
Johnson ruled last month that the non-Belkin owners breached the terms of their agreement to buy out Belkin, triggering Belkin's right to buy them out at cost instead by July 13. Thursday's stay means last month's ruling is on hold until the appeal of the ruling is decided by the Maryland Court of Special Appeals.
Stay grounds Hawks, Thrashers
By TIM TUCKER
The Atlanta Journal-Constitution
Published on: 07/07/06
Rockville, Md. — Steve Belkin won't be taking over the Hawks and Thrashers anytime soon, but the other owners will be operating at an apparent competitive disadvantage against the rest of their leagues.
Those are the results of a court order issued Thursday.
The Maryland judge who last month ruled that Belkin is entitled to buy out the other Hawks-Thrashers owners at cost issued a stay of the ruling Thursday, pending appeal, but he attached a significant condition to the stay.
He ordered that, pending appeal, the other owners are to "not initiate the purchase, sale, trade or negotiation of any NBA or NHL player contract ... excluding contracts involving present or future draft picks and contracts for any other player with a contract duration of one year or less."
That means that, during an appeal process likely to last a year, the Hawks and Thrashers cannot sign free agents to contracts longer than one year or trade for players with more than one year on their contracts. That handcuff seemingly will put the teams at a competitive disadvantage vs. other clubs in the trade and free-agent markets.
Montgomery County (Md.) Circuit Court Judge Eric Johnson said in court that the order would not apply to players with whom negotiations already have been initiated, meaning, for
example, that the Hawks apparently are free to complete their planned signing of free-agent point guard Speedy Claxton to a multiyear contract.
As another condition of the stay, the judge ordered the non-Belkin owners to post an appeal bond of $11.4 million — a small fraction of the bond amounts of $120 million to $450 million suggested by Belkin to protect him against any drop in the value of the franchises during appeal.
The judge also ordered that during the appeal process, the other owners can not change the teams' current management without Belkin's consent.
Johnson ruled last month that the non-Belkin owners breached the terms of their agreement to buy out Belkin, triggering Belkin's right to buy them out at cost instead by July 13. Thursday's stay means last month's ruling is on hold until the appeal of the ruling is decided by the Maryland Court of Special Appeals.
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