NEW YORK, Nov 4, 2011 (NYDN) –Frank McCourt owner of the baseball franchise Los Angeles Dodgers must pay his former wife and ex-team CEO Jamie McCourt $131 million by the end of April 2012 as part of their divorce settlement, according to a settlement filed Thursday.
McCourt and Major League Baseball reached an agreement just this week to sell the team along with its media rights. Back in June 2012 the Dodgers filed for bankrupcy protection after the league rejected a television contract with Fox, reported to be worth up to $3 billion. Money McCourt needed to keep the team out of the red.
The settlement calls for Jamie McCourt to receive $131 million, in exchange for giving up her claim to an ownership share of the Dodgers. The settlement has no contingencies, attorneys confirmed Thursday, so the deal would not be affected if Frank McCourt agrees to sell the Dodgers before the Nov. 14 hearing.
As reported by CBS:
“The agreement was signed by the former couple last month but made official Thursday. It calls for the lump sum to be paid in cash and would be tax-free. If Frank McCourt comes up with the money before April 30, 2012, $1 million per month will be shaved from his tab.MLB had assumed control of the club’s day-to-day operations in mid-April before the team filed for bankruptcy.”
The couple’s divorce proceedings were open to the public as their lavish spending habits were revealed in court. Documents showed that the McCourts took out more than $100 million in loans from Dodgers-related businesses for their own use
Superior Court Judge Scott Gordon ruled in December that a post-marital agreement that gave Frank McCourt sole ownership of the Dodgers was invalid, clearing the way for his ex-wife to seek half of the team under California’s community property law.
As part of the settlement between the McCourts, Jamie will retain two beachfront homes in Malibu, a house in Holmby Hills and a condominium in Vail. After paying off the mortgages, the four properties have a value of about $50 million.
Frank McCourt will continue to pay $225,000 in temporary spousal support until the lump-sum payment is made. He will get to keep two homes in Massachusetts, according to the agreement.