Some label him the savior of pro basketball in Seattle. Others blame him for the Seattle SuperSonics’ impending departure and believe he is an opportunist looking for some good publicity to help pull his coffee company out of financial doldrums.
Whatever you think of Starbucks CEO and former Sonics owner Howard Schultz, his lawsuit against the Sonics has certainly raised some eyebrows in the legal community, and it works hand in hand with the city’s lawsuit against the team.
“Trying to show a fraudulent state of mind is difficult, but there might be other evidence that they put forth. This is novel, which is one of the things that creates the uncertainty. It’s a creative lawsuit, but even though it’s novel and creative, there seems to be some substance to it.â€
Others like Sidney Delong, a Seattle University Law School professor who has taught contract law since 1985, remain skeptical.
“Schultz’s verified complaint alleges that the sale was induced by the buyer’s presale fraudulent misrepresentation of its intent to move the team,†Delong said. “As a remedy, he seeks a judicial declaration that he may avoid the sale, a common remedy for fraud.
“But that would mean giving the buyer back the money in return for the team, and Schultz apparently is not offering to do that. Instead, he demands that the buyer be ordered to sell the team to, ‘an honest buyer who desires to keep the Sonics in Seattle.’ That would be an unprecedented remedy for fraud.
“The problem is, he can’t have it both ways: Either the deal is off because of the buyer’s fraud, in which case he must give the money back, or the deal is on and his remedy is damages for breach. And he doesn’t allege any.â€
breach,coffee company,contract law,doldrums,eyebrows,fraudulent misrepresentation,impending departure,judicial declaration,Novel,opportunist,pro basketball,remedy,savior,seattle supersonics,seattle university law school,starbucks
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