Phoenix XXIV: How many twists does the scriptwriter have left?

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The Pouzar

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May 6, 2009
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Or maybe they were weak markets with bad arenas, questionable revenue, low corporate support, and no ownership.

Nah. It must have been vindictiveness.

Not the thread for this.
That sounds an awful lot like the situation in PHX minus the bad arena. And when the Jets moved to PHX there was no new arena on the horizon in an unproven market
 

leer2006

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Jan 20, 2010
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I think COG would likely sue on the basis of the tort of interference with prospective advantageous business relations, which is a similar but broader tort than interference with contractual relations, which presupposes an existing contractual relationship.

One important element is 4) improper conduct. Some of the factors to consider in determining whether the interference that was "improper" include:

1) the nature of the actor's conduct;
2) the actor's motive;
3) the interest of the other (plaintiff) with which the actor interfered;
4) the social interest in protecting the freedom of action of the actor;
5) proximity of actor's conduct to the interference; and
6) relationship between the parties.

Some other points:

Justification. Important point when considering this tort: to determine if the interference was justified, public policy considerations must be taken into account. Justification on such grounds constitutes a primary defense to an action. For example, some judicial opinions refer to the tort as "intentional interference without justification."

Causation. The essential thing is the purpose to cause the result. If the actor does not have this primary purpose, his conduct does not subject him to liability even if it has the unintended effect of deterring the third party from dealing with the other (plaintiff).

The above are just a few points I gleaned from a v.8 of a famous text sitting in front of me: The American Law of Torts. As you can see, this is not a slam dunk case for the COG in any case (assuming they intend to sue using such tort).

GHOST

How will the way Glendale handled the last ruling the court gave out reguarding the releasing of documents to GWI affect this? Did Glendale shoot it self in the foot by not complying in a timeley manner leaving GWI with no other option but to send out letters?
 

Coach

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Dec 18, 2010
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I have a question regarding the arena parking.
According to this old article:
New Hockey Arena Will be Ready for 2003-04 Season
Glendale Officials Step Up to Keep NHL Coytoes in the Valley of the Sun

http://hockey.ballparks.com/NHL/PhoenixCoyotes/newindex.htm

Upon completion of the arena in 2003, the city will reimburse Ellman for all associated construction costs up to $180 million and will become the owner of the arena. Both the Coyotes and Glendale will use the arena for other public uses throughout the year.

The arena will be funded from taxes generated from the site, from General Obligation bonds earmarked for related projects, parking revenues and other dedicated revenue streams. Funding for this project will not affect current city services or delay any planned projects.

The question I have is how can parking revenue be pledged to initially pay for the arena (still paying off the bonds for this purchase) and now again be pledged to repay the Hulsizer bond issue?
 

Koss

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If the team has to be moved, perhaps the NHL can get more than TNSE is willing to pay on the open market, but it's already March. If a new owner inst' able to be ready to host NHL games in 6 months, than the NHL will have to deal with another season of $40 million (or more if the NHL states that the team is moving) of losses. So the open market would have provide more than the losses.
 

MotorMaster

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Jan 7, 2009
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I predict the team will stay in Phoenix, then I predict some fan in Winnipeg will do something crazy.

In all seriousness though,
NHL has hired former Jerry Reinsdorf associate John Kaites to try and work with Goldwater
they will find a way to get a deal done.
 

Coach

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Dec 18, 2010
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I predict the team will stay in Phoenix, then I predict some fan in Winnipeg will do something crazy.

In all seriousness though, they will find a way to get a deal done.

NHL has hired former Jerry Reinsdorf associate John Kaites to try and work with Goldwater

Yes John Kaites sure helped Reinsdorf close with no time restrictions. What makes you think he can close this within the limited time line here?
 

Ciao

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You might note the high degree of similarity between the fact situation here and that in the Reach case that you referenced. Would you care to discuss that?

In the Reach case, the Pharmaceutical Manufacturer's Association ordered its members not to advertise in a certain commericial publication. The Goldwater Insitutute has not ordered anyone to do anything.

At the same time, the Pharmaceutical Manufacturer's Association had the power to fine or otherwise discipline its members. The Goldwater Institute has no power and control over any of the financiers it wrote to.

Anyone Goldwater wrote to is free to accept or reject Goldwater's advice. The Pharmaceutical Manufacturer's Association members were not free to do so.

Goldwater has never held itself out as having any mandate to protect the interests of bondholders. It wanted to ensure compliance with the Arizona constitution by interfering with the sale of these bonds by any lawful and proper means, including written notice to potential investors of its' concerns over the constitutional validity of the Glendale/Hulsizer financing arrangements. It has always had the legal right to do so.

Why is a municipality financing the purchase of professional sports franchise in any event? This goes far beyond leasing a municipally owned arena.
 

Ciao

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My last post is just intended as a response to GSC about a specific question.

The Reach case really has nothing to do with any legal action that Glendale might bring against Goldwater, except to illustrate the legal principle of unlawful interference. I am certain there would be many, many more relevant case precedents from Arizona and other states with similar laws.

Please don't get sidetracked with my response to GSC. There is nothing of any importance in it, but I didn't want to leave his question unanswered.
 

smokes

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May 26, 2009
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If the team has to be moved, perhaps the NHL can get more than TNSE is willing to pay on the open market, but it's already March. If a new owner inst' able to be ready to host NHL games in 6 months, than the NHL will have to deal with another season of $40 million (or more if the NHL states that the team is moving) of losses. So the open market would have provide more than the losses.

The only way that if the Yotes relocate they go anywhere other than Winnipeg will be because of a protracted Phoenix crash (this would require a continued and enhanced/renewed NHL commitment to keep the Coyotes in Phoenix assuming yet another delay due to the potential COG suit, bond sale, GWI direct and indirect involvement, etc.). This transaction will not fall to the open market (assuming there is one available for this fall).
 

Le Oranje

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Sep 20, 2010
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If this lawsuit isn't Bettman/the NHL's "screw it, enough is enough" moment, I don't know what I'll do.
 

XX

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Dec 10, 2002
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The question I have is how can parking revenue be pledged to initially pay for the arena (still paying off the bonds for this purchase) and now again be pledged to repay the Hulsizer bond issue?

Under the MUDA, Ellman was given control of the parking lots. However, under the AMULA, signed by Moyes, the team had to pay the city of Glendale something like $2 for every car parked at the arena, though the team never charged for parking. Wonder why they were losing money?

Now, Glendale wants to gain the rights to manage the parking exclusively (instead of taking a flat $2 fee through the AMULA) and for all events/times. I understand that this seems like this seems as though Glendale is buying something they already own, it is my understanding they permanently signed away the rights to the lot to Ellman, and as a way of collecting revenue from the Coyotes success tacked on the per-car fee to the AMULA. It was an easier way of paying off the arena debt than doing a flat excise tax or CFD at the time, I'm assuming.
 

Jesus Christ Horburn

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Aug 22, 2008
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I'm going to predict that the NHL pulls the plug tomorrow before COG and GWI have a chance to drown each other in lawsuits.

I know they don't want to be painted as the villain in all this, but this is starting to get ridiculous.

For all we know, they NHL may have already informed COG of this decision, hence their lawsuit is for 500 million.
 
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RAgIn

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Oct 21, 2010
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The letters said Goldwater had not made a final decision but that Glendale's deal could amount to an illegal government subsidy of private business.

Glendale is expected to argue the letters represented an unlawful interference in the business affairs of the city, also known as tortious interference.

If a suit went forward, Goldwater might argue its right to free speech protects its actions, sources said.

Well, that settles that. It's the COG's word vs the GWI's. Don't forget, there's an open case between both parties relating to the access of public records. I wonder if that will help GWI's cause. Wow. Things should get nasty. :)
 

Kismet

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Apr 29, 2010
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I would kind of like to know when the Council authorized Tindall to file suit. Would it have been March 1? By vote?
 

RAgIn

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Oct 21, 2010
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No basis to oppose Coyotes deal

More:

I am astonished that it is taking no action to support Glendale to keep jobs and revenue in the area.

On the contrary, it appears determined to be the catalyst for the deal to fall apart. This will not be forgotten.

Only in Arizona would a body like Goldwater take action deliberately to prevent an investor from bringing his money to the city, thus saving hundreds of jobs and securing the future of the Westgate area, which will surely die if the Coyotes leave Glendale.

So can anybody write an opinion piece and post on AZCentral? Seems like it. On top of that, he's not even a local citizen. Probably some Western Canadian. Geez.

http://www.azcentral.com/arizonarepublic/opinions/articles/2011/03/07/20110307monlets075.html
 

headsigh

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Oct 5, 2008
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I don't think Glendale is doing much but threatening. They're in no position to sue goldwater because they know that that'd be the worst possible scenario right now.

It reminds me of the kid in school that, whenever harassed, would go, "I know five point palm exploding heart technique, I'm prepared to use it!" but never did.

Yeah, they're prepared to sue, but they sure as hell don't want to.
 

Whileee

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May 29, 2010
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I'm going to predict that the NHL pulls the plug tomorrow before COG and GWI have a chance to drown each other in lawsuits.

I know they don't want to be painted as the villain in all this, but this is starting to get ridiculous.

For all we know, they NHL may have already informed COG of this decision, hence their lawsuit is for 500 million.

Yup. Pretty pointless to sue for $500 million for the loss of the Coyotes, unless you have already lost the Coyotes.
 

RAgIn

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Oct 21, 2010
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Sudbury, Ont
I would kind of like to know when the Council authorized Tindall to file suit. Would it have been March 1? By vote?

Maybe the City Manager (Ed Beasley) has the power to authorize a lawsuit. But I'd simply be guessing at this point. Perhaps during the executive meeting last Tuesday, they voted on it (4-3).
 
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