The Atlanta Spirit ended their exclusive negotiating period with San Diego Padres owner John Moores to purchase the Atlanta Hawks and the operating rights to Philips Arena on Friday, the Atlanta Journal-Constitution says.
They even quoted Atlanta Spirit co-owner Michael Gearon, Jr.
He said: “We no longer have exclusivity. It was ended by mutual agreement after preliminary discussions.”
As “the Church Lady” on that old late 1980s version of Saturday Night Live used to say, “Well, isn’t that special?”
(Or for you kiddies who weren’t around when comedian Dana Carvey perfected the character in the late 1980s, I’ll give you an up-to-date analogy from “Weekend Update” with Seth Meyers on the 2010 version of SNL: “Really?”)
Folks, you may be about to learn that sometimes it comes down to timing when it comes to Bruce Levenson and Michael Gearon of the Atlanta Spirit, LLC.
So let’s take a look at this timing.
Here’s what we know from what Bruce Levenson and Michael Gearon have told us on the public record.
At some point before a deal was possibly, maybe all-but-agreed to between True North Sports and Entertainment and the Spirit to send the Atlanta Thrashers to Winnipeg, Spirit co-owners Bruce Levenson and Michael Gearon, Jr. tied up the Hawks and the operating rights to Philips Arena and essentially pledged them to Moores until that exclusive negotiating period expired.
So at some still undetermined point, if you were someone like J.B. Smith, the so-called "Balkan," and you wanted to put an offer on the table for the Hawks, Thrashers and Philips Arena, Bruce Levenson and Michael Gearon, Jr. couldn’t sell them to you that is unless their agreement with Moores allowed them to do so.
As I have chronicled on Examiner.com for a while during in the process, there was this mysterious tenor to the negotiations where Bruce Levenson and Michael Gearon, Jr. were choosing their words ever so carefully, just stating that “the franchise” aka just the Thrashers were for sale – even going so far to put Thrashers President Don Waddell in charge of the process of selling the Thrashers.
Why? Because only the Thrashers were for sale and for sale at terrible 1980s-style lease terms, I may add. The Atlanta Spirit, or “sources in the organization” finally came clean last week.
So let’s look at the record now.
- The Hawks and the operating rights are locked up with Moores for an indeterminate period of time.
- Bruce Levenson and Michael Gearon are trying to sell the Thrashers while still negotiating a lease for them to play in Philips Arena.
Well isn’t that special?
So Bruce Levenson and Michael Gearon not only want you to believe that they have the Hawks and the owners to Philips Arena locked up under an exclusive negotiating period, but they also somehow have the magical authority to negotiate lease terms for the Thrashers.
Hey Bruce Levenson and Michael Gearon, how can that possibly be?
Hey John Moores, if Bruce Levenson and Micahel Gearon do not want to answer the question, maybe you can? Did the Atlanta Spirit get your blessing to negotiate these lease terms to keep the Thrashers in what could be your rink? It seems that something as important as lease terms for a building you'll be running is something that might matter to you.
Further, if this exclusivity period goes back to sometime like let’s say early February, Bruce Levenson and Michael Gearon still want you to believe that if someone like Smith came in and said, “I want the Hawks, Thrashers and the Philips Arena operating rights” that they could actually entertain offers on all three teams.
Well isn’t that special?
Only one tiny detail, Bruce Levenson and Michael Gearon, unless there’s something in the exclusivity agreement with Moores that allows you to sell the Hawks and Philips Arena operating rights along with the Thrashers, you were probably prohibited from doing so under the exclusivity agreement you had with Moores, right?
Well isn’t that special?
Nevertheless, Bruce Levenson and Michael Gearon would also have you believe that if this exclusivity period existed in early February that that they could have asked for supporting documentation that as the AJC put it “a buyer with the documented financial ability” could complete a deal for all three.
Well, you theoretically could, Bruce Levenson and Michael Gearon, but…. Really?
Come on Bruce Levenson and Michael Gearon, you know exactly why you may not have been able to in that situation. You’ve been in a court of law enough times to know better than to ask for documentation while you’re under an exclusive negotiating period unless Moores gave you permission. That’s easy enough to clear up. Show us the paperwork that allows you to talk about selling all three.
If your mind is still fuzzy, Bruce Levenson and Michael Gearon, do you remember David McDavid?
I certainly do. So does a Fulton County jury. If you don’t that McDavid guy was in line to buy the Thrashers, Hawks and operating rights to Philips Arena from Turner Sports. You remember that well. You got the team instead.
I also remember – another someone like Turner Sports claiming that McDavid didn’t have enough money to buy all three entities way back in 2004.
Surprise! A hometown jury thought otherwise and awarded McDavid -- who lived in Texas mind you -- $281 million from hometown Turner Sports.
But I’ll give you the benefit of the doubt. That judgment was against Turner Sports. It didn't come from your pockets. You just bought the team and have no legal culpability. Turner was technically in the wrong. It is worth remembering though.
But really?
Let’s cut to the chase.
Here’s the most simple, plausible theory.
And Bruce Levenson and Michael Gearon, I’m saying it’s just a theory here. I certainly don’t want your lawyers coming after me for a theory you can easily refute by just showing the proper documentation to prove me wrong.
Honestly, I'd love to be proven wrong here, because I believe people conduct business in an open and honest fashion.
Anyhow, here goes: If Bruce Levenson and Michael Gearon asked for financial documentation from someone like Smith and there was an exclusive period for the Hawks and Philips Arena at the time and if that agreement did not have an out clause to allow negotiations for all three Spirit entities and someone like Smith wanted all three entities, the Atlanta Spirit would probably be violating their exclusivity agreement with Moores.
Yes. Really.
And further, look at the timing here. Gee, Bruce Levenson and Michael Gearon, you announce that you have ended this “deal” you have with Moores just about the time you are reportedly inches away from completing a deal with True North to ship the team to Winnipeg?
Really?
What kind of idiots do you take all of us for? And when I say all of us, I mean the fine citizens of both Atlanta and Winnipeg.
The bottom line is that once again, the Atlanta Spirit owes us a candid and truthful explanation. But this time, if they don’t want to tell the truth, John Moores may be able to shine some light to solve this little mystery.
And Commissioner Gary Bettman, at minimum, you at least owe the citizens of Atlanta a complete and thorough investigation of what could be a fast one that your favorite ownership group may have tried to pull before you have your Governors give their blessing to move this team to Winnipeg.
Your league does have a "covenant with the fans" after all, doesn’t it? Or does that covenant just apply to Phoenix, Edmonton, Nashville, Tampa Bay and Pittsburgh? Perhaps it is just idle talk when you have the taxpayers footing the bill in Glendale, Mr. Bettman?
Bruce Levenson and Michael Gearon, it’s time once again for you to tell the truth. Come completely clean. Half-truths simply won’t cut it anymore.
Enough is more than enough. You can't hide behind this exclusive negotiating period anymore, Bruce Levenson and Michael Gearon.
Clear this misunderstanding up. Show us the documents. If John Moores is in the way, get him to waive confidentiality to show the documents. He surely has nothing to hide.
Bottom line is that your employees deserve the truth. Thrashers fans deserve the truth. The people of Winnipeg deserve the truth.
They all know how to "deal with it."
Maybe it is not going to be a quiet Victoria Day after all.
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