In order to make sense of the story so far...
Schultz Will Go Ahead With Lawsuit
Sonics’ former chairman does a backflip, will take Clay Bennett and PBL to court
September 5, 2008
By Tim Robbins
P-I Reporter
In a surprising move, former Seattle Supersonics’ chairman Howard Schultz and his team of lawyers have submitted a lawsuit to the District Court. It is expected that with the NBA pre-season approaching quickly, both parties in this litigation have advised the Oklahoma City Thunder, who released their new name and team colours just two days ago, to continue preparing for the upcoming NBA season.
It was only last week that Schultz announced that he would drop the case against Clayton Bennett and PBL. Schultz’s attorney Richard Yarmuth released a statement on his client’s behalf: ‘Although my client, Howard Schultz, shared the opinion of others that any prospective case against PBL and the NBA would be regarded as a ‘long-shot’ in regard to success; he has decided that it is in the best interests of the city of Seattle to try anything to get their NBA team back.’
The bold move from Schultz caught the NBA by surprise who had been trying hard to prevent the case from going ahead. NBA commissioner David Stern is yet to make a formal statement. The NBA put in a motion to the courts in July and was later told that they had the right to intervene in the matter at hand. However, a confident Yarmuth also included a shot at the NBA: ‘…our legal team is confident that the NBA will not want to intervene in this matter as we have proof that could damage the league’s integrity…”
Clay Bennett was unavailable for comment. Court Proceedings are expected to begin in a fortnight.
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Howard Schultz and Team Win Landmark Case
September 26, 2008
SEATTLE (AP) – In a landmark decision, the District Court in Seattle found Clayton Bennett and PBL guilty of fraud and misrepresentation whilst dealing in a business matter. The court found that a key condition in the sale contract was that the team was to be kept in Seattle. However, in email conversations between Bennett’s group, it was proven that PBL had no intention of ever keeping the Sonics’ franchise at home. As a result, the new Oklahoma City Thunder will relocate back to Seattle.
In a dramatic twist of events, Schultz took Bennett and PBL to court despite dropping an earlier pending lawsuit. The earlier lawsuit was revoked by Schultz due to the court ruling that the NBA had a right to intervene in the matter. However, the NBA has remained silent on the issue the second time around when Schultz said he would take legal action. Rumour has it that this was due to the fact that Schultz’s lawyers were able to obtain information that PBL had made payments to David Stern and the NBA.
The District Court has decided that the franchise will be put in a constructive trust allowing it to be sold to a prospective new owner. According to Schultz, the team will only be sold to someone willing to keep the team in Seattle.
It is said that PBL will lodge an appeal.
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Appeal Dismissed: Seattle To Get NBA Team Back
October 9, 2008
SEATTLE (AP) – Seattle officials will need to work fast to get their team back on the floor in time for the beginning of the NBA season, which starts in less than three weeks. The Court of Appeal in Seattle dismissed an appeal sought by Clayton Bennett and PBL, stating that the ruling of stripping PBL of its ownership of the NBA franchise would stand.
“We (PBL) are very disappointed with the decision, especially because of the fact that we are so close to the NBA season,” Bennett told reporters, “I have decided that we will not appeal the decision to the Supreme Court. We will continue to look for a way to gain an NBA team for Oklahoma City. There are definitely going to be many fans disappointed by this decision.”
Howard Schultz’s attorney, Richard Yarmuth, proclaimed his client’s happiness for the decision, “When we began proceedings, everyone stated how this was a long shot (for us to win the case). However, we came out on top as the underdogs and Seattle will be getting their team back! My client and my team would like to thank the courts for giving us a concession and hearing our case first. We appreciate that and now the new Seattle management will have sufficient time to organise a team for the upcoming NBA season.” When quizzed on the future of the Seattle team, Schultz refused to comment.
It is expected that former NBA superstar Gary Payton is leading a consortium to buy the rights to the franchise. Payton, in recent months, has made his intentions clear, to keep the Sonics in Seattle, to the media.