MASN dispute update

[JohnD]

Bet the Orioles are sellers now...

Today the Washington Nationals won a major legal victory when a New York State appeals court ruled the Nationals are entitled to have the amount of rights fees the team is paid for television broadcast of its games be determined by a committee of Major League Baseball owners and executives.

The decision arises from a long-running dispute between the Nationals and the regional television sports network MASN, which is super-majority owned and wholly controlled by the Baltimore Orioles.  MASN broadcasts both Nationals and Orioles games, pursuant to a 2005 agreement entered when MLB moved the former Montreal Expos to Washington.  The agreement expressly provides that any unresolved fee disputes between the Nationals and MASN should be decided by MLB’s Revenue Sharing Definitions Committee (the “RSDC”), composed of three MLB team owners and executives appointed by the MLB Commissioner.  The RSDC’s membership changes periodically.

In today’s decision, the Appellate Division ruled that MASN and the Orioles are bound by the contractual commitment they made to have rights fees disputes arbitrated before the RSDC.  This will allow the Nationals to proceed to a new arbitration before the RSDC of the rights fees for 2012-2016, as well as an arbitration to determine the fees for the forthcoming five-year period of 2017-2021.  The disputed amounts exceed more than $100 million for each of these five year periods.
 

 

[Three Run Homer]

The only silver lining is that maybe this will push Angelos to sell. 

[Three Run Homer]

1 minute ago, Three Run Homer said:

The only silver lining is that maybe this will push Angelos to sell. 

Sell the team, I mean (as well as selling at the deadline). 

[MDtransplant757]

10 minutes ago, JohnD said:

Bet the Orioles are sellers now...

Today the Washington Nationals won a major legal victory when a New York State appeals court ruled the Nationals are entitled to have the amount of rights fees the team is paid for television broadcast of its games be determined by a committee of Major League Baseball owners and executives.

The decision arises from a long-running dispute between the Nationals and the regional television sports network MASN, which is super-majority owned and wholly controlled by the Baltimore Orioles.  MASN broadcasts both Nationals and Orioles games, pursuant to a 2005 agreement entered when MLB moved the former Montreal Expos to Washington.  The agreement expressly provides that any unresolved fee disputes between the Nationals and MASN should be decided by MLB’s Revenue Sharing Definitions Committee (the “RSDC”), composed of three MLB team owners and executives appointed by the MLB Commissioner.  The RSDC’s membership changes periodically.

In today’s decision, the Appellate Division ruled that MASN and the Orioles are bound by the contractual commitment they made to have rights fees disputes arbitrated before the RSDC.  This will allow the Nationals to proceed to a new arbitration before the RSDC of the rights fees for 2012-2016, as well as an arbitration to determine the fees for the forthcoming five-year period of 2017-2021.  The disputed amounts exceed more than $100 million for each of these five year periods.
 

 

Angelos will counter sue or appeal. This isn't over just yet

[JohnD]

Not sure thats the case.  Orioles don't own MASN, the Angelos clan does -- I believe.

There will also be another appeal and then  the negotiations.  But my guess is this a step towards MASN going away.  Or at least the Nationals getting on CSN instead.

4 minutes ago, Black Bat said:

The team is worth less today than yesterday.

 

[Frobby]

4 minutes ago, Black Bat said:

The team is worth less today than yesterday.

I think you are over-reading the decision/buying into the Nats' spin on it.    The lower court judge already ruled that the earlier arbitration decision was thrown out and had to be re-arbitrated, which was a big victory for the Orioles.     The Orioles then tried to compound their victory by arguing that the new arbitration had to be before an independent arbitrator, rather than the RSDC.   That argument had very little chance of succeeding, and I'm not the slightest bit surprised that they lost.     The composition of the RSDC has changed since the first decision, and we'll see what happens this time around.  

[Lucky_13]

Why does this make the Orioles more likely to sell at the deadline now? 

[MDtransplant757]

7 minutes ago, JohnD said:

Not sure thats the case.  Orioles don't own MASN, the Angelos clan does -- I believe.

There will also be another appeal and then  the negotiations.  But my guess is this a step towards MASN going away.  Or at least the Nationals getting on CSN instead.

 

The Orioles offically own MASN, and the Nats literally can't go anywhere else with their TV rights besides MASN due to how the deal was structured when they moved to DC in 2005

[MDtransplant757]

2 minutes ago, Lucky_13 said:

Why does this make the Orioles more likely to sell at the deadline now? 

It really doesn't. 

[TradeAngelos]

The Dictator and his offspring will NEVER sell. 

Swanni‏ @SwanniOnTV

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Swanni Retweeted Chelsea Janes

If it sticks, bet on MASN to raise its carriage fees, which could trigger disputes (and Blackouts) w pay TV providers.

[JohnD]

14 minutes ago, MDtransplant757 said:

The Orioles offically own MASN, and the Nats literally can't go anywhere else with their TV rights besides MASN due to how the deal was structured when they moved to DC in 2005

I stand corrected then.

Do you think MASN can pay out potentially in excess of $100m though?  If they can't pay up...

[MDtransplant757]

Just now, TradeAngelos said:

The Dictator and his offspring will NEVER sell. 

Swanni‏ @SwanniOnTV

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Swanni Retweeted Chelsea Janes

If it sticks, bet on MASN to raise its carriage fees, which could trigger disputes (and Blackouts) w pay TV providers.

Plus no market streaming would leave this team hurting for cash

[MDtransplant757]

Just now, JohnD said:

I stand corrected then.

Do you think MASN can pay out potentially in excess of $100m though?  If they can't pay up...

Yeah, they can. The network makes over $1 billion for the O's every year, half of which is because of the Nats. 

[TradeAngelos]

Swanni‏ @SwanniOnTV  12m12 minutes ago

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Swanni Retweeted Chelsea Janes

Don't know when current deals w Directv, Cox, Comcast and Dish expire. But MASN will likely ask for lots more $ in next go-round.

 

Swanni‏ @SwanniOnTV  10m10 minutes ago

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Swanni Retweeted Chelsea Janes

And if they do, the pay TV ops may balk, which could leave MASN off your lineup, at least for awhile. Ask SportsNet LA and the Yes Network.

[MDtransplant757]

Just now, TradeAngelos said:

Swanni‏ @SwanniOnTV  12m12 minutes ago

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Swanni Retweeted Chelsea Janes

Don't know when current deals w Directv, Cox, Comcast and Dish expire. But MASN will likely ask for lots more $ in next go-round.

 

Swanni‏ @SwanniOnTV  10m10 minutes ago

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Swanni Retweeted Chelsea Janes

And if they do, the pay TV ops may balk, which could leave MASN off your lineup, at least for awhile. Ask SportsNet LA and the Yes Network.

I have cox (Forced into it due to where I am, verizon was better for internet.)