As many on this board have predicted, the Coyotes have now decided to throw up the "save us from ourselves" defense. According to Bailey, aside from the spurious "conflict of interest" issue, the city is claiming that the Coyotes are "bad actors" and so, therefore, the deal should be voided. Is the City's allegation fraud in the inducement, material misrepresentation, or some criminal conduct???? No, it is basically that the Coyotes got too good a deal so that the deal is not in the "public's interest".
Gee, I thought that City Council members and city staff, like the manager and city attorney for example, are the individuals charged with the fiduciary duty to protect the City's interest. I didn't know a private business needed to consider what is allegedly in the public's interest when doing a business deal with a municipality.
It sort of rings of :
Bailey: "You see judge...um...we're really stupid. We have a stupid group of city council members, who got really stupid advice from our paid professional staff, and made a really stupid deal which means the Coyotes got too good a deal, which isn't in the public's best interest. So....throw us bone okay? Save us from ourselves. Let us terminate this 15 year deal 13 years early because we all know if we hadn't been smoking something illegal, none of this would have ever happened. Come on judge, here's even a case not on point but kinda, sorta, stands for the proposition that contracts can be terminated because bad things happened during the negotiations."
Court: "So you want me to enter an order terminating a $225M deal after 2 years because its a bad deal and the city council was stupid for voting in favor?"
Bailey: "Bingo!"
Note to the world...never, ever do business with the City of Glendale if this is their official position on government contracts they enter in to.
To get to the back end quickly on this. If the court enters and injunction and maintains the status quo, which I personally feel is the most likely outcome, the City of Glendale must continue to pay until the matter is resolved on the merits. Under that scenario, the Coyotes have won, it is just a matter of how much more they win.
I see relocation of the Coyotes in 3 years. I think it is 50/50 whether the relocation is within, or outside of Arizona, however.