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Bankruptcy

Aug. 12, 2011

Sports team bankruptcies: home runs or strikeouts?

Sports team bankruptcies pit the "constitutional" rights of the league against the fundamental precepts of bankruptcy law. By Jeffrey I. Golden and Robert S. Marticello of Weiland, Golden, Smiley, Wang Ekvall & Strok LLP


By Jeffrey I. Golden and Robert S. Marticello


The Los Angeles Dodgers' bankruptcy filing, like other earlier sports team bankruptcies, pits the "constitutional" rights of the league against the fundamental precepts of bankruptcy law. At its core, bankruptcy enables the debtor to alter bargained for contractual rights to restructure its obligations. Sports leagues, however, try to enforce their contractual rights in bankruptcy to govern the decisions...

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