Bankruptcy trustee tells the Rangers to get new lawyers

1 Comment

Many people thought it problematic when it was revealed several months ago that Tom Hicks was both (a) selling the Rangers; and (b) part of the ownership buying the Rangers.  Different capacities, sure, in that Tom Hicks the individual was buying from an entity — Hicks Sports Group — that Hicks just so happened to own and run, but it is the kind of thing that raises eyebrows among those who are not used to the often convoluted and incestuous world of closely-held corporations.

But public perception may not be the only problem. The trustee overseeing the Rangers’ bankruptcy has a problem with at least one aspect of the overall arrangement, and that involves the law firms.  Take it away Barry Shlachter:

U.S.
Trustee William Neary asserted that all of the work – and millions
in fees – Weil Gotshal & Manges received from team owner Tom Hicks
jeopardized the fairness and transparency expected by the
public, including Rangers fans. Attorneys for the baseball
franchise are charged with acting in its best interests, not that
of the outgoing ownership.

“Undoubtedly, Weil
Gotshal & Manges’ role evolved and shifted as events
transpired before the bankruptcy case, but it was WGM’s responsibility
to focus on the conflicts issue,” Neary said in the filing with a
U.S. bankruptcy court in Fort Worth.

Weil Gotshal denies any suggestion that it was conflicted, of course.

My view: I’m just a dumb litigator who nobody ever let near the table when a complicated deal was being negotiated, but it’s not like having the same law firm all over a transaction like this has never happened before. There are a lot of ways to guard against conflicts when you have hundreds and hundreds of lawyers you can throw at a deal, many of whom don’t even know one another.  Best practice in the world? Nah, but it’s not, in and of itself, fatal.

In light of that my guess is that there was something specifically troublesome that either Hicks or the law firm was doing during the course of this deal that raised the ire of the trustee. These things tend to get ironed out pretty quickly, however, and my guess is that the law firm problem doesn’t cause any big hiccup in a deal that has enough other hiccups.

Major League Baseball told Kolten Wong to ditch Hawaii tribute sleeve

Getty Images
9 Comments

Derrick Goold of the St. Louis Post-Dispatch reports that Major League Baseball has told Cardinals infielder Kolten Wong that he has to get rid of the colorful arm sleeve he’s been wearing, pictured above, that pays tribute to his native Hawaii and seeks to raise awareness of recovery efforts from the destruction caused by the erupting Mount Kilauea.

Goold:

[Wong] has been notified by Major League Baseball that he will face a fine if he continues to wear an unapproved sleeve that features Hawaiian emblem. Wong said he will stash the sleeve, like Jose Martinez had to do with his Venezuelan-flag sleeve, and find other ways to call attention to his home island.

Willson Contreras was likewise told to ditch his Venezuela sleeve.

None of these guys are being singled out, it seems. Rather, this is all part of a wider sweep Major League Baseball is making with respect to the uniformity of uniforms. As Goold notes at the end of his piece, however, MLB has no problem whatsoever with players wearing a non-uniform article of underclothing as long as it’s from an MLB corporate sponsor. Such as this sleeve worn by Marcell Ozuna, supplied by Nike that, last I checked, was not in keeping with the traditional St. Louis Cardinals livery:

ST. LOUIS, MO – MAY 22: Marcell Ozuna #23 of the St. Louis Cardinals celebrates after recording his third hit of the game against the Kansas City Royals in the fifth inning at Busch Stadium on May 22, 2018 in St. Louis, Missouri. (Photo by Dilip Vishwanat/Getty Images)

If Nike was trying to get people to buy Hawaii or Venezuela compression sleeves I’m sure there would be no issue here. They’re not, however, and it seems like creating awareness and support for people suffering from natural, political and humanitarian disasters does not impress the powers that be nearly as much.