Dallas Cowboys owner Jerry Jones and Los Angeles Rams owner Stancroenke before the NFL Playoff Football match at the Los Angeles Memorial Coliseum on Saturday, January 12, 2018 in Los Angeles, California. I left together.
Keith Birmingham | Media News Group | Getty Images
Stancroenke, owner of the National Football League and the Los Angeles Rams, has reached a $ 790 million settlement with St. Louis officials, the city announced Wednesday.
The settlement stems from a proceeding in 2016 when Rams moved to Los Angeles. The City, St. Louis County, Regional Convention and Sports Complex Authority sued the NFL and Rams in 2017.Engage in good faith with relocation policies to prevent Rams Relocation from St. Louis.
“This historic agreement concludes a long chapter in our region and secures hundreds of millions of dollars for our community while avoiding uncertainty in the trial and appeal process,” said Mayor of St. Louis. Tishaura Jones and county executive Sam Page jointly said. statement. “Cities, counties, and STLRSA are still deciding how settlement funds will be allocated.”
“The NFL and the St. Louis City, St. Louis County, and St. Louis Regional Games Sports Complex have been able to completely resolve the dispute,” added NFL spokesman Brian McCarthy. “Thanks to all the parties for their efforts to reach a settlement and to Judge Jack Garvey for his service as a mediator.”
The settlement will also take place shortly before the trial set in January.Earlier this month with the NFL Rams lost effort Bringing cases to trial elsewhere in Missouri, rather than the team’s former hometown of St. Louis.
The defendants in the proceedings are the owner of Rams, Croenke Sports & Entertainment, 31 other professional soccer teams, and their owners. The proceedings sought damages of at least $ 1 billion.
NS St. Louis Post Dispatch First reported the settlement.
The NFL also risked the disclosure of confidential financial documents of NFL owners if the case was brought to justice. Judge Christopher McGraw of the St. Louis Circuit Court, who handled the case, fined four NFL owners about $ 44,000 for failing to file financial statements last October. Another hearing on this issue was scheduled for December.
St. Louis officials have sought financial damages allegedly incurred when Rams moved to Los Angeles. The move left St. Louis in debt at the team’s old stadium, which was built with public funds.
The appearance of the American Center dome before the St. Louis Rams defeated the Philadelphia Eagles in St. Louis, Missouri 29-24.
Elsa | Getty Images
Authorities said the city lost $ 1.85 million to $ 3.5 million annually in entertainment and ticket collection, $ 7.5 million in property tax and $ 1.4 million in sales tax, for a total annual income of more than $ 100 million. Insisted.
The lawsuit also alleges that St. Louis County also lost hotel, real estate, and sales tax revenues after the relocation of Rams. The total impact on the state is over $ 15 million, according to a lawsuit using figures from the Missouri Department of Economic Development.
According to the proceedings, St. Louis officials also sought some of the increased valuations associated with the relocation of Rams. That total is over $ 1 billion.
The NFL also risked a lawsuit in early 2022, at the same time as the Super Bowl LVI at Rams’ new home complex, SoFi Stadium.
Therefore, the settlement before that was a “wise move,” sports lawyer Erwin Kishner told CNBC on Wednesday.
“In fact, the St. Louis judicial system is very supportive of our hometown,” Kishner said. “Why have you filed proceedings for years, paid millions of fees, and have the uncertainty of the proceedings? It makes sense to allow people to focus on better things. . “
Asked about the reported $ 700 million or more, Kishner called the amount “fair,” but did not comment further. “We don’t know enough about it,” he said, wondering if the settlement would be paid over the years or prepaid.
Patrick Riche, director of the University of Washington’s Sports Business Program, called the big reconciliation figures “unprecedented,” especially given that such incidents are usually in favor of sports leagues and owners.
“If I asked sports executives and sports lawyers four years ago,’what do you think this case would be?’ I think most people would have said zero.” “Therefore, for the city to leave for nearly $ 800 million, it will not only be unprecedented, but will establish its position in all teams and all leagues.
“Ownership and leagues need to be transparent, close and follow the rules, otherwise this can happen,” Riche added.
NFL and Rams reach $ 790 million settlement in St. Louis relocation case
Source link NFL and Rams reach $ 790 million settlement in St. Louis relocation case