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05-29-2007, 09:44 AM
  #28
Stranger
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Join Date: Jul 2002
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Quote:
Originally Posted by gscarpenter2002 View Post
It is not necessarily the league that would have a cause of action. It is the city itself. It would constitute a breach of good faith with respect to the agreement between the team and the city.

That being said, it would not surprise me if the league by-laws have provisions stating that teams must use best efforts to market their teams, etc. If that is the case, then the league could step in and exercise their remedies under the by-laws.

Incidentally, the NHLPA might also have a cause of action if an owner were intentionally suppressing their revenue, as this would have an impact on the players' share under the CBA.

All in all, it would be an extraordinarily bad idea.
I guess I'm more interested to hear about what the league could do after the sale went through. If there is no lease, what can the league really do? As for the bad faith with the city, wouldn't that have to be written in the lease deal with the city if the city was to challenge Balsillie?

Very good point about the NHLPA and the suppression of revenue.

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