Wednesday, September 30, 2009

Both Coyotes Bids Rejected

Will this ever end? The Bankruptcy Judge presiding over the curious case of the Phoenix Coyotes decided on Wednesday afternoon to reject bids from Blackberry Gazzllionaire Jim Balsillie and from the NHL to take over the beleaguered franchise.

The story from the Arizona Republic HERE.

One has to wonder when this story will ever end. Or for that matter whither the fate of ye' Coyotes? One of the many things in Judge Redfield Baum's ruling; the NHL was within there rights to deny Mr. Balsillie entrance as an owner.

Okay, that means if they don't want to let him in there club, they don't have to.

He also decided it was more prudent to encourage the league to continue searching for someone, anyone who would be willing to buy the team.

The league, according to Deputy Commisioner Bill Daly maintains “We are reviewing the opinion and considering how we can best address the Court's concerns regarding our offer to purchase the Coyotes. It remains our goal to secure the long-term stability of the Coyotes in Glendale” We will see exactly what that means.

Judge Redfield Baum said in his 31-page decision:
“In hockey parlance, the court is passing the puck to the NHL, who can decide to take another shot at the sale net or it can pass off the puck.”

Here's a link to the decision if you'd like to read the whole thing...

Paul Waldie from the Globe and Mail has more details...

Judge Baum threw out a bid by Jim Balsillie saying it could not succeed because he cannot properly satisfy the NHL’s rights regarding relocation.

The Judge said the NHL’s bid is problematic because it allows the league to select which creditors will be paid in full. Judge Baum left the door open to the NHL to modify its bid to resolve the issues. He said the league “can probably cure the defects in its bid if it elects to make the required amendments”.

Balsillie's bid was denied "with prejudice"- meaning it can not be resurrected in any manner. He said that he would not appeal the ruling.

More when we know more...

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