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Los Angeles Angels of Anaheim in stadium dispute with city

On Behalf of | Nov 14, 2022 | Business Litigation |

When getting caught up in the local sports scene in Orange County and throughout Southern California, it is easy to forget that sports franchises are businesses just like any other. They need to be concerned about contracts, adhering to local laws, maintenance, repairs and more.

That reality is hitting home for the Los Angeles Angels of Anaheim as their current stadium issues are generating headlines. Just like any business, those who are facing disputes must think about having experienced help to get through.

Dispute over upgrades and cost is stoking discord

The Angels have a lease with the city that Angel Stadium of Anaheim and its maintenance and upkeep be paid for by the club. The stadium itself is owned by the city. In the past two decades, the team has made more than $54 million in repairs and improvements. The city contributed more than $12 million.

However, the city is deciding if it will approve a study to be conducted that might show that the stadium will need upgrades that will cost hundreds of millions of dollars. This is being done as legal filings become more probable.

Local lawmakers may try to compel the organization to pay for it. A report a decade ago showed that the stadium was likely to require up to $150 million for various issues by 2033. Now, it may cost twice that. The previous renovation was done in 1998 and cost $117 million. The lease had been signed two years earlier.

Complicating matters is that owner, Arte Moreno, is considering selling the team he purchased in 2003. For its part, Major League Baseball is waiting to see the outcome of the possible sale and Mr. Moreno might face liability for some costs after the sale.

For complex business litigation and disputes, experienced advice can be key

When a business has a contract with the city or any other entity, it is not unusual for various obstacles to arise. This is a costly one and the sheer prominence of a Major League Baseball team and how it is dealing with leases and interpretations of agreements shines a light on what any business—small, medium or large—might face.

Having seasoned and experienced guidance to get through the maze of contracts, business litigation, appeals, negotiation and more can be essential to come up with an acceptable and cost-effective solution. Calling for guidance with these situations can be vital and should be done from the start to try and address complicated business matters.



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