McCourts reach settlement in divorce battle
If Frank McCourt were to prevail in bankruptcy court, it’s unclear whether the judge would allow him to tap into the TV money to pay the settlement. It’s also unknown whether the proceeds from the sale of the team would even exceed $130 million.
Some observers said one of the reasons behind the settlement may be the legal bills that have amassed over the past two years. The former couple has racked up more than $20 million in fees, according to court documents.
“This ends it,” said Los Angeles family attorney Robert Nachshin. “They stop paying divorce lawyers and she gets $130 million.”
MLB had assumed control of the club’s day-to-day operations in mid-April before the team filed for bankruptcy. Former Texas Rangers President Tom Schieffer was appointed to monitor the team on behalf of Selig, who said he took the action because he was concerned about the team’s finances and how the Dodgers are being run.
Last year, the McCourts went through a highly publicized trial that focused on a postnuptial marital agreement they had signed in 2004. The public learned that they took out more than $100 million in loans from Dodgers-related businesses. Their spending habits were likened to using the money from the team as if it was their personal ATM or credit card.
A Los Angeles judge ruled in December that the marital agreement which gave Frank McCourt sole ownership of the Dodgers was invalid, clearing the way for Jamie McCourt to seek half the team under California’s community property law.