Skip to content

Donald Sterling’s response to NBA charges vows fight, Shelly Sterling files separate response

May 27, 2014, 9:05 PM EDT

Memphis Grizzlies v Los Angeles Clippers - Game Four Memphis Grizzlies v Los Angeles Clippers - Game Four

If you read from his comments over the past couple weeks that Donald Sterling was willing to let his Los Angeles Clippers go, that he didn’t really want to fight the league, then you haven’t followed Donald Sterling’s career.

Sterling’s attorney filed a lengthy, defiant response to the NBA’s charges — those charges are part of an effort by the league to use its constitution to force a sale of the team following outcry after prejudiced remarks by Sterling first heard on a private recording obtained by TMZ and then additional remarks on CNN.

Sterling’s response talks of large offers for the team — in excess of $2.5 billion, although his attorney later denied that was the number — and promising to fight the league’s efforts to force a sale of the team, reports Brent Schrotenboer of the USA Today.

Los Angeles Clippers owner Donald Sterling said the NBA’s efforts to terminate his ownership of the Los Angeles Clippers are “illegal” and that it would force his family to pay an enormous capital gains tax that would be “egregious,” according to his response to NBA charges filed Tuesday.

In a 32-page response to the league, he said he will fight the charges and noted that he has received offers of more than $2.5 billion for the team.

Donald’s wife of 58 years, Shelly Sterling, filed a separate response with the league asserting her rights as half owner of the team under community property laws and saying she was just an innocent bystander in this. Her attorney Pierce O’Donnell reached out to NBC News with this statement:

“Donald Sterling has authorized Shelly Sterling in writing to negotiate the sale of the Los Angeles Clippers, including his 50 percent ownership of the team. Shelly is managing the sale of the Clippers. While no formal offers have yet been received, Shelly and the NBA are working cooperatively on the transaction.”

Donald Sterling’s lawyer refutes that.

The NBA is not slowing down its process, NBA spokesman Mike Bass said in a statement in response to the Sterling’s filings.

“This evening, the NBA received responses from Donald and Shelly Sterling to the charge to terminate the current ownership interests in the Los Angeles Clippers.  The NBA Board of Governors will meet on June 3 at 1 p.m. in New York City to hear and vote upon this matter.  Should the Board vote to sustain the charge, the Sterlings’ interests in the Clippers will be terminated and the team will be sold.”

The owners need a three-quarters vote (23 of the 29 owners) to strip Sterling of his franchise.

This all stems from recorded comments by Donald Sterling that were prejudiced (both in the interview with his former mistress and on CNN), combined with a racist history, which resulted in a wave of anger from fans and sponsors withdrawing their support from the Clippers. This is what the NBA had said previously about the charges.

The charge asserts that Mr. Sterling engaged in conduct that has damaged and continues to damage the NBA and its teams. Among other things, Mr. Sterling disparaged African-Americans and “minorities”; directed a female acquaintance not to associate publicly with African-Americans or to bring African-Americans to Clippers games; and criticized African-Americans for not supporting their communities.

Mr. Sterling’s actions and positions significantly undermine the NBA’s efforts to promote diversity and inclusion; damage the NBA’s relationship with its fans; harm NBA owners, players and Clippers team personnel; and impair the NBA’s relationship with marketing and merchandising partners, as well as with government and community leaders. Mr. Sterling engaged in other misconduct as well, including issuing a false and misleading press statement about this matter.

The mention of capital gains tax by Donald Sterling’s lawyer gets to the heart of the matter — in California the combination of state and federal taxes would force him to pay 33 percent of his profit on the sale in tax. He bought the team for $12.5 million more than 30 years ago, even if the team sold for $1 billion (and it’s expected to be higher, maybe much higher) that would be $333 million in taxes.

However, if Sterling holds on to the team until he passes (he is reportedly battling cancer) and the team goes to his relatives who sell it, they only pay capital gains on the difference between the estimated value at the time of his passing and the sale. That would be considerably less.

The league does not care.

They are moving ahead with their drive to force a sale. If the 29 other owners vote to terminate Sterling’s ownership, the league then takes over and sells the team (Sterling would get the profits from that sale). The league believes it has the right to do this because the Clippers are a a franchise and Sterling signed documents multiple times over the years agreeing to the league’s rules and bylaws. Most legal experts side with the league’s position.

Shelly Sterling is trying to say she will help sell the team, however as part of that she wants to keep a piece of the franchise as a minority owner — her identity is clearly largely tied to being the owner of the Clippers.

The league and its players will not tolerate that.

Expect the league’s owners to vote to terminate Sterling’s ownership of the team on June 3.

Expect the Sterlings to take this to court after that vote.

Expect this to continue to drag out. Because this is who the Sterlings are, this is what they do.

Latest Posts
  1. Bucks’ Larry Sanders to play with goggles next season

    Sep 22, 2014, 12:21 AM EDT

    Larry Sanders

    Remember Sanders suffered a serious eye injury last season.

  2. Golden State Warriors top 10 plays of 2014 season (VIDEO)

    Sep 21, 2014, 11:00 PM EDT

    Oklahoma City Thunder v Golden State Warriors Getty Images

    Way more Andre Iguodala than you might expect.

  3. Report: Celtics will complete Evan Turner signing before training camp begins

    Sep 21, 2014, 9:30 PM EDT

    Los Angeles Lakers v Indiana Pacers Getty Images

    Turner’s stock has dropped significantly since being traded from the Sixers to the Pacers in the middle of last season.

  4. NBA’s rookie transition program tries to educate, but some of the information is presented in poor taste

    Sep 21, 2014, 8:00 PM EDT

    You can see what they’re trying to do, but some of the things presented went a bit too far.

  5. Behind the scenes look at internal media day for Charlotte Hornets (VIDEO)

    Sep 21, 2014, 6:30 PM EDT

    courtesy Bobcats.com

    Our first real look at the new uniforms and new court design.

  6. Tony Parker hits a back over-the-head halfcourt shot (VIDEO)

    Sep 21, 2014, 5:00 PM EDT

    Tony Parker Tony Parker

    I’m pretty sure Popovich doesn’t want him taking one of these in a game.

  7. Hornets’ Jeff Taylor says he’s recovered from ruptured Achilles

    Sep 21, 2014, 3:30 PM EDT

    Dallas Mavericks v Charlotte Bobcats Dallas Mavericks v Charlotte Bobcats

    He’s going to fight for minutes at a crowded wing spot in Charlotte.

  8. Andrew Wiggins says he doesn’t feel much pressure heading to Minnesota

    Sep 21, 2014, 2:00 PM EDT

    Timberwolves New Players Getty Images

    Nobody expects much from the Timberwolves or Wiggins this season, outside of a few highlight dunks.

  9. Report: Zoran Dragic “in advanced discussions” to leave Europe for Suns next season

    Sep 21, 2014, 12:30 PM EDT

    BASKET-EURO-2013-SRB-SVN Getty Images

    A team is going to have to pay him at least $2 million a year to make it worth his while.

  10. Jeanie Buss ‘not worried’ about Kobe coming back and contributing for Lakers

    Sep 21, 2014, 9:30 AM EDT

    Boston Celtics v Los Angeles Lakers Getty Images

    Lakers president believes Bryant is ready after he missed all but six games last season due to injury.

  11. Timberwolves ‘not necessarily in a rush’ to agree to contract extension with Ricky Rubio

    Sep 20, 2014, 11:00 PM EDT

    Ricky Rubio AP

    Rubio may not like it, but Minnesota can retain his rights in restricted free agency next summer.

  12. Report: Gustavo Ayon’s deal with Real Madrid worth $6.6 million over three years

    Sep 20, 2014, 9:30 PM EDT

    Australia v Mexico - 2014 FIBA Basketball World Cup Getty Images

    Big man from Mexico preferred to remain in the NBA, but took the payday to return overseas.

  13. Kobe Bryant may join ownership group attempting to purchase Italian soccer team

    Sep 20, 2014, 6:30 PM EDT

    Kobe Bryant Kobe Bryant

    With two years left in the NBA, Bryant has an eye on life after basketball.

  14. Taj Gibson says he’s fine coming off the bench for Bulls: ‘Please miss me with the drama’

    Sep 20, 2014, 5:00 PM EDT

    Taj Gibson Taj Gibson

    A previous report said Gibson was less than thrilled with remaining a reserve.

  15. Andray Blatche signs deal to play in China next season

    Sep 20, 2014, 3:30 PM EDT

    Cleveland Cavaliers v Brooklyn Nets Getty Images

    Blatche can play, but the NBA offers simply weren’t there.

  16. Giant LeBron James banner approved to hang in downtown Cleveland once again

    Sep 20, 2014, 2:00 PM EDT

    lebron-banner

    10-story-high banner will return after a similar one was taken down when James left in 2010.

  17. Report: Ramon Sessions signs 2-year deal with Kings

    Sep 20, 2014, 12:28 PM EDT

    Ramon Sessions AP

    Sessions could start at point guard for Sacramento.

Featured video

What players stood out at World Cup?
Top 10 NBA Player Searches
  1. R. Rondo (2573)
  2. E. Bledsoe (2488)
  3. K. Bryant (2149)
  4. L. James (2038)
  5. D. Rose (1817)
  1. R. Allen (1675)
  2. N. Young (1584)
  3. K. Irving (1522)
  4. J. Hickson (1439)
  5. G. Oden (1404)