L.A. Dodgers File for Bankruptcy Protection
Monday, June 27, 2021 11:49 AM

The Los Angeles Dodgers Major League Baseball team filed for Chapter 11 bankruptcy protection, the team said in a statement on Monday.

The team said that the filing, “will enable the club to consummate a media transaction and capitalize the team.” The team has blamed Major League Baseball for refusing to approve a television deal with News Corp’s Fox Network, which would give the team a quick flow of cash.

On June 20, the MLB rejected a proposed $3 billion, 17-year deal with Fox, saying it would not be in the best interests of the Dodgers, the game and fans. The league has been monitoring the Dodgers' day-to-day operations.

Dodgers owner Frank McCourt said, "We brought the commissioner a media rights deal that would have solved the cash flow challenge I presented to him a year ago," McCourt said. "Yet he's turned his back on the Dodgers, treated us differently, and forced us to the point we find ourselves in today."

The Dodgers said that they have arranged $150 million in financing so that the team can operate normally while in bankruptcy.