Donnelly Ritigstein Law Offices
Call for a Free Consultation
Toll Free 866-907-6368 Local 856-324-6147

NJ Devils' owner finds himself in the hot-seat

When business relationships change or commitments are unmet, a private company, like a sports team, can find itself involved in a legal mediation to defend claims filed against it by a supporting financial sponsor.

The dispute often attracts media attention and amble opinions defending each side's choices. If communication breaks down between both sides, a commercial lawsuit can be initiated and lead to costly business litigation or arbitration.

In this case, Newark mayor, Corey Booker, made accusations against a former Lehman Brothers' executive for his activities as the owner of the New Jersey Devils, a National Hockey League team. Among other comments, Booker suggested that the Devils owner Jeff Vanderbeek failed the city of Newark by not fulfilling obligations that helped the hockey team obtain $200 million in public money for a new arena.

Booker argued that the hockey team owner did not keep promises made to people who supported the building of the arena such as the construction of a recreation center, the creation of youth programs and job training opportunities.

The construction project involved financing about $200 million by taxpayers and about $187 million of financing secured by the hockey team organization.

On the other side of the argument, the leaders of the Devils franchise feel that the mayor isn't being completely honest about the situation and that he is manipulated local laws to punish the group.

Now both sides have opened the door to argue their case in a legal arena if they aren't able to come to an agreement outside of the courtroom.

Source: BusinessWeek.com, "Newark's Booker Says Devils Owner Vanderbeek Betrayed City," Aaron Kuriloff and Trish Regan, April 10, 2012

1 Comment

This website is really a walk-through for all of the info you wanted about this and didn’t know who to ask. Glimpse here and you’ll definitely discover it. WONDERFUL Post! Thanks for sharing.. I will wait for more qualitative information..

Leave a comment
Comment Information

Moorestown Office
212 West Route 38
Suite 200
Moorestown, NJ 08057

Map & Directions

Haddonfield Office
132 Kings Highway E
Suite 105
Haddonfield, NJ 08033

Map & Directions

Linwood Office
327 Central Avenue
Linwood, NJ 08221

Map & Directions

Cape May Court House Office
618 Route 9 South
Cape May Court House, NJ 08210

Map & Directions

Gloucester, Cumberland and Salem County Offices
57 Euclid St.
Woodbury, NJ 08096

Map & Directions

Back To Top