For those wondering if there is a process that really allows the NBA to terminate Sterling ownership, read this from Lester Munson: Under the terms of Paragraph 13 of the constitution, the owners can terminate another owners franchise with a vote of three-fourths of the NBA Board of Governors, which is composed of all 30 owners. The power to terminate is limited to things like gambling and fraud in the application for ownership, but it also includes a provision for termination when an owner fails to fulfill a contractual obligation in such a way as to affect the [NBA] or its members adversely. Silver and the owners could assert that Sterlings statements violated the constitutions requirements to conduct business on a reasonable and ethical level.......What we all have to remember, is that although he owns the team, the team is apart of a membership organization that is governed by bylaws all owners agree upon. Those bylaws include clauses to terminate your membership. Also, thats why when you get your LLC and have members, you need an organization agreement with bylaws to govern these types of situations.
Posted on: Tue, 29 Apr 2014 20:53:35 +0000
Trending Topics
Recently Viewed Topics
© 2015