Atlanta Spirit settles lawsuit — this can only be good news
The Atlanta Spirit ownership group has seldom been one big happy family.
The Atlanta Spirit just took a significant step forward. They’re out of the courtroom.
Can world peace be far away?
The long-battling owners of the Atlanta Hawks and Thrashers announced in a brief statement that their lawsuit involving Steve Belkin and the other partners has been settled. There is no mention of Belkin or terms of the settlement in the statement.
The entire release:
SETTLEMENT REACHED IN OWNERSHIP LAWSUIT
Atlanta, GA, December 22, 2010 – The lawsuit among the owners of the Atlanta Hawks and Atlanta Thrashers has been settled. Terms of the settlement are confidential. Going forward, Michael Gearon and Bruce Levenson will serve as managing partners of the Atlanta Hawks, Atlanta Thrashers and Philips Arena.
The Spirit has seemed doom almost from the time the group officially purchased the Hawks, Thrashers and operating rights to Philips Arena in March of 2004 from Turner Broadcasting. The major split, between Belkin and the other owners (led by Michael Gearon Jr. and Bruce Levenson), occurred after the Hawks acquired Joe Johnson from the Phoenix Suns in 2005 over the objections of Belkin. The sides have been embroiled in litigation ever since, primarily over how much it would take for Belkin to be bought out of the ownership group.
Now that this is settled, it at least opens the door to front office matters in the two organizations being run more smoothly.
The Thrashers, in particular, have been hamstrung financially. They have the NHL’s lowest payroll and the Spirit has been seeking to bring in either a new partner or sell the club outright, which has fueled rumors of the club being moved.
The ownership has been such a mess that even NHL commissioner Gary Bettman took the Spirit to task, telling the Atlanta Journal-Constitution last February: “Ultimately, the ownership situation has to be straightened out. It’s difficult to operate a franchise when owners aren’t getting along. It’s even more difficult in a recession climate. A team has to be at its very best. Issues have to be resolved and everybody has to be together so they can interact with fans. But that’s difficult when the owners aren’t together.”
When a league commissioner calls you out, you’ve got issues.
The Spirit owners could never understand — or at least would never admit publicly — why they’ve been subjected to so much criticism over the past six and a half years. The reason is simple: Fans want their sports teams’ owners who are passionate and want to win as much as they do, and who give the impression that they know what they’re doing.
When owners are suing each other, it obviously sends a different message.
Now that they’re out of the courtroom, the remaining members of the Atlanta Spirit need to go about trying to repair some of the damage they’ve inflicted during their tenure. But if they don’t succeed right away, maybe it’s because there are more than a few bridges that need repairing.
♦
Last 3 posts, now in high-def
– Roddy White battles Saints, Trent Dilfer via Twitter (final update)
– Richt looking forward to putting Dogs’ season behind him
– NFL MVP race: Vick and Brady are even (Ryan, White close behind)
♦
Follow me on Twitter @JeffSchultzAJC and Facebook.com/JeffSchultzAJC
Tell us what you think about the site
Customer Care »
Vacation stops, manage subscriptions and more
AJC Services
Sections
Other Editions
Visitor Agreement | Privacy Statement
© 2013 The Atlanta Journal-Constitution
92 comments Add your comment
ryan
December 22nd, 2010
10:45 pm
I want to get rid of these the ASG all together they have been the worst ownership ever .
5150 P.O.A.D.
December 22nd, 2010
10:47 pm
DA Double UG
The only Dawgs in the NFL I cheer for are the ones that play for the Falcons. I do pull for Tech players to have good games just not against the Falcons.
D A Double U G
December 22nd, 2010
10:48 pm
POAD, you are also a PRIME example of every Tech fan.
Whenever a sports debate or argument is addressed to you, you instantly want to switch it to an “off field” or “academic” debate. Everey time you guys do that, it’s basically admitting defeat.
I really do feel sorry for you guys.
But in the spirit of Christmas being so close, I wish you a Merry one, you fine Georgian.
Corch Myer
December 22nd, 2010
10:52 pm
We are so lucky to have this bunch of jock sniffers running the hawks/thrashers. Right???Much like the braves and falcons; maybe someday an ownership will emerge that has the money and good sense to put a good product on the field with good coaching. Until then, we are destined to suffer much like the braves and falcons fans of years ago did.
5150 P.O.A.D.
December 22nd, 2010
10:59 pm
DA double UG I am saying AJ doesn’t want to sit in class for 3 more semesters and All UGA fans had to know he was not coming back no matter what. He will go high I am sure. I hate that he could go to a BAD BAD team. I hated when Calvin Johnson had to go to the LIONS. The Lions are doing a little better with Matt Stafford on the sidelines. Who would have figured that? Could Be Bills, Carolina, Dallas, San Fran, Denver, Bengels, Lions,
5150 P.O.A.D.
December 22nd, 2010
11:02 pm
Sorry Minnasota, Cards, and Brown are the 1st 10 picks. Lions are out having all the WRs they need. 2 other teams are out taking QB’s or trading down to get more picks because another team wants a QB bad.
ben
December 22nd, 2010
11:24 pm
::in the Jeff Foxworthy voice:: You might be a redneck if you think college sports are a big deal.
the nhl and the nba are major leagues college sports are basically a minor league arrangement. this is why i never got behind them. if you don’t like the nba or hockey then don’t go but act like adults and stay off the boards about them.
5150 P.O.A.D.
December 22nd, 2010
11:33 pm
ben
The NBA loses money hand over fist. Just how is that Major League? TOO many NBA teams & games IMO. Too many teams in the Playoffs too. I do think the NFL is crazy to play more games next year as they are dicussing. The NFL playing on Thursday Nights is a bad idea too. Those HUGE men need more days to let their bodies rest. MLB could play 130 games and be better off too.
Ryan Fanning
December 22nd, 2010
11:44 pm
I went to my first Thrashers game on Saturday and I never thought I would say this but…..It was incredibly fun. The NFL will always be my fav but the NHL is my new 2nd favorite sport! Thrasher tickets are cheap and there are multiple games a week! I’m like obsessed with hockey now
ben
December 22nd, 2010
11:53 pm
5150 poad- As a man who used to make documentaries I’m aware of accounting tricks they do in Hollyweird. So I ask: “How do they count the beans?”
ben
December 22nd, 2010
11:57 pm
example: Teams charge themselves rent, corporations run teams at a loss so they can write it off later. sometimes film co’s dbl charge for everything.
scottbravesfan
December 23rd, 2010
12:13 am
5150,
You think Centennial Park is a freaking danger zone? Quit being scared all the time. Only how Atlanta is going to change is if people start moving back into Atlanta. Look at New York City Time Square used to be a terrible area and now it’s NYC Disney Land.
5150 P.O.A.D.
December 23rd, 2010
12:41 am
NOT just the area around the Dome and Philips is the DANGER ZONE. It is the DOWNTOWN AREA you have to drive thru to get to the games.
Brendan
December 23rd, 2010
3:00 am
Jeff Schultz, I am hoping this is not a joke. I’ve seen a lot of bizarre stuff lately. Eric Boulton recently scored a “hat trick,” the Texas Rangers were in a World Series, and the NFL team that has been the poster child for losing, with two total playoff wins in the 40-something year franchise history, the New Orleans Saints, were last year’s Super Bowl Champs. And now this?? I tells ya, I’m peeking out my windows … checking for signs of the Four Horsemen of the Apocalypse!
Getting back to the article, I found these comments to be especially salient, and applause worthy: The Spirit owners could never understand — or at least would never admit publicly — why they’ve been subjected to so much criticism over the past six and a half years. The reason is simple: Fans want their sports teams’ owners who are passionate and want to win as much as they do, and who give the impression that they know what they’re doing. When owners are suing each other, it obviously sends a different message. Now that they’re out of the courtroom, the remaining members of the Atlanta Spirit need to go about trying to repair some of the damage they’ve inflicted during their tenure. But if they don’t succeed right away, maybe it’s because there are more than a few bridges that need repairing.
A-men, Jeff. And thank you for putting that in print. Let me ask you a serious question: “How far would a public apology over mismanagement of the Thrashers, and the dysfunction among the ownership group, in general, go … in terms of potentially increasing ticket sales? I just want to try every possible avenue to get hockey fans, previously SHUNNED and DRIVEN AWAY by this ownership group, to return to the Bulb. It’s been difficult for some hockey fans to support this NHL franchise, knowing full well that their money goes to the very pepetrators of the franchise’s demise. What words of encouragement can you offer them, at this time? We can review the umpteen misdeeds of the past, but we’ve sure “been there” and “done that” enough times. I want to hear, from Levenson and Gearon, what their PLAN really is for this Thrashers franchise. Would they even utter the word “accountability?” Would they mention, “increased budgets?” How much would it matter to Thrashers fans if Gearon or Levenson said, “We’re gonna BUY at the trade deadline. We’re COMMITTED to giving this Thrashers franchise the necessary resources it needs to win, and advance as far as they can go, during the 2011 playoffs.” Presently, the team’s payroll is the lowest in the NHL, and frankly, I’m not sure why it hasn’t been penalized for being UNDER the FLOOR of the salary cap.
Stinger2
December 23rd, 2010
4:51 am
Jeff: Why do so many fans say that Arthur Blank should buy the Braves, Thrashers, and Hawks. Are they just dreaming? No doubt he has the financial resources; however would he really want to own three or four sport franchises? He is so hands on with the Falcons that it is doubtful he would have time to keep up with what is going on with three or four teams.
Stinger2
December 23rd, 2010
4:51 am
Jeff: Why do so many fans say that Arthur Blank should buy the Braves, Thrashers, and Hawks. Are they just dreaming? No doubt he has the financial resources; however would he really want to own three or four sport franchises? He is so hands on with the Falcons that it is doubtful he would have time to keep up with what is going on with three or four teams.
Beretverde
December 23rd, 2010
6:48 am
Who is in charge of the Spirit? Who is the “big man” of the group? It looks like the “Ownership by Committee” isn’t working.Six years of courtroom antics? What were the legal fees on that fiasco? Again- Who is the main man? I rarely use the term… but the Atlanta Spirit looks snake-bitten.
Paddy
December 23rd, 2010
7:01 am
Being out of the courtroom and litigation does not solve being BROKE! ASG has no chance to make it in this city. People have learned not to trust what they say. Can’t repair that one.
JSS
December 23rd, 2010
7:39 am
Arthur Blank… Arthur Blank… Mary Hartman, Mary Hartman… Like Ted Turner before him, he is NOT a cure all for what ails all of Atlanta professional sports!
I’d prefer Kathy Betty to get a group of partners together and bring some sanity to Phillips…
JSS
December 23rd, 2010
7:56 am
@ Stinger2
“No doubt he has the financial resources; however would he really want to own three or four sport franchises?”
For the 1 billionth time, no he does not! People are still under illusion that Arthur has unlimited wealth. During the Wall Street meltdown, his remaining shares in Home Depot took a 35% NET LOSS! The stock has now just returned to its October 2008 pre crash level. That was down further from the highs of 2005, which was down from when Marcus and Blank turned over the CEO reigns. He is barely in the middle of Forbes top 400 of Richest Americans.
DWTOO
December 23rd, 2010
8:26 am
Better to be thought a fool than post a comment and remove all doubt. Fine article Jeff, but, most of these posts have to be the work of absolute morons.
If you don’t like hockey or b-ball, fine. Then just shut up and allow those who do enjoy their sport. There are a few of us who don’t really care about UGA football. And I don’t go on their blogs so stay away from this.
jerry
December 23rd, 2010
8:41 am
@ Joe Thompson……..I think Thrashers is a great name for the team. It is the state bird and also insinuates an ass kicking, in a sport where ass kicking sometimes happens.
Brendan
December 23rd, 2010
8:48 am
Here, I had hoped Bruce Levenson had ‘turned the corner’ in his evolution as a person. Then, I find this quote, in the Kriti Swartz “Lawsuit Settled” article:
Michael Gearon and Bruce Levenson will serve as managing partners of the Atlanta Hawks, Atlanta Thrashers and Philips Arena.
“I think if you talk to anyone in either organization, they will tell you that this lawsuit has had zero impact. Zero,” Levenson said. “At the end of the day, we had a business partner who we were in a dispute with and we have settled that dispute. It may sound a lot more complicated but that’s really what happened.”
Okay, let’s a see a show of hands. Get ‘em up, way high in the cyber air, if you think the Atlanta Thrashers BELOW THE FLOOR of the salary cap budget is the result of ZERO Impact. Don’t be bashful, now. Step up. Admit that you think that the Spirit FIGURED that being below the floor of the cap was the BEST WAY POSSIBLE to run the Atlanta Thrashers Hockey club. (I’m counting on you posters, now.)
DWTOO
December 23rd, 2010
9:00 am
OK Brendan – based upon what I’ve seen over the ASG tenure B/L is a LIAR! Worst run franchise in pro sports and it has to own the one team I follow.
DawginLex
December 23rd, 2010
9:30 am
Time now to sell the Hawks to Arthur Blank and get an owner who actually cares about winning.
Ted Striker
December 23rd, 2010
9:39 am
Cue the chorus of “Sell Sell Sell”…by the clueless folk who never seem to understand that a party also has to be willing to “Buy Buy Buy”
Jeff Schultz
December 23rd, 2010
10:08 am
TonyB — Short answer: They’re looking for a buyer for the Thrashers or at least a significant investor. As for the Bettman/NHL/move factor, I think that’s still a little bit down the road.
Jeff Schultz
December 23rd, 2010
10:09 am
POAD — Don’t worry. There’s 12,000 bowl games.
Jeff Schultz
December 23rd, 2010
10:11 am
Kracker — Haha. Actually, uninformed voters depress me a lot more than uninformed commentors.
Jeff Schultz
December 23rd, 2010
10:12 am
Thanks Brendan. Good comments.
Jeff Schultz
December 23rd, 2010
10:12 am
Stinger2 –Arthur Blank won’t be buying another franchise for a while, if ever. Everything he’s doing is wrapped up in the Falcons and trying to get a new stadium.
Bruce Mac
December 23rd, 2010
10:58 am
Poad, have you ever been to a Thrasher’s game? It is darn fun. It is a horrible TV sport but it definately has attributes a Southern Born and raised fan can relate to. NBA on the other hand is like watching wrestling to me. It is all too predetemined although the athletes are incredible. I think that is why J Smooth is much more important to this franchise than Joe Johnson who is just a solid guy with no flash. To me, the NBA is about flash and high flying big plays as the wins are all predetemined. 1. Miami, 2. Boston, 3/4 Orlando and Atlanta. Who didn’t know that?
JSS
December 23rd, 2010
11:29 am
@ Ted Striker…
Exactly!!! They wished Time-Warner away… But Oh, will they ever learn?
JSS
December 23rd, 2010
11:33 am
@ Bruce Mac…
Then why have the following teams (The Cavs, the Magic, The Suns, The Mavs, The Knicks, and the Hornets) not won NBA titles since it is all about “The Flash?” I await your answer…
Ted M
December 23rd, 2010
11:58 am
How many millions were wasted on attorney fees?
poof!!!
December 23rd, 2010
12:49 pm
POAD is like my Dad he used to go to Atlanta all the time in the 60’s and 70’s when the crime rates in Atlanta were some of the highest in the country, now my father talks about how bad the crime is in Atlanta. When people get old they tend to see things worse than what they really are. Plus they always say things were better in my day. And life goes on.
Dr Phil
December 23rd, 2010
1:09 pm
poof!!!- I hope POAD isn’t that much like your dad or you will need years and years of very expensive therapy!
Suzy
December 23rd, 2010
2:54 pm
What a bunch of crap…….They have been laying off employees, eliminating jobs and contracting out services in their company for the past several years trying to build up the capital for this settlement.
The Point Forward » Posts Court Vision: The latest around the league «
December 23rd, 2010
3:25 pm
[...] factions of the Hawks’ ownership group settled their litigation late Wednesday. Here’s background on the key players and the rift between them, which started (naturally) in part because of Joe [...]
Predictions: Falcons, Dogs, Jackets win; Rex plays footsie | Jeff Schultz
December 23rd, 2010
4:38 pm
[...] – Atlanta Spirit settles lawsuit — this can only be good news [...]
CrazyDiamond
December 23rd, 2010
5:01 pm
ALAN R: NHL National TV contract on VERSUS = Profit Sharing deal. I get VERSUS – but the teams do not get squat from the deal in comparison with any other sport. Why? ‘Cause NHL is not a sport the nation watches.
Ondrej Pavelec – no playoff experience – not a playoff caliber goalie. It would be like the Braves having a rookies as their #1, 2, and 3 starting pitchers. Thanks, DW,
SUZY: You got it right! These guys continue to be strapped for cash. When the price is right for the Thrashers to go to Canada, they are gone.
STRETCH
December 23rd, 2010
6:52 pm
The Hawks dont have money. PERIOD.
General manager Rick Sund is taking the same wait-and-see approach he did prior to the start of the season.
“We’ve improved every year; now we will see if we can get one step closer to a championship,” Sund said.
Note: He is focused on “getting ONE step closer to a championship?” REALLY????
What ever happened to actually trying to WIN a championship????
Sounds like a GM who knows that he wont have any money to work with for a LOOOOONG time.