DEVELOPING: Judge Says Shelly Sterling Acted "Appropriately"

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Judge Michael Levanas has come down with the opinion/ruling that Shelly Sterling acted appropriately in the decision to challenge her estranged husband's mental state in the sale of the Los Angeles Clippers.

Closing arguments the first of three pending Donald Sterling lawsuits were earlier in the day and Levanas ruled Shelly Sterling, tentatively, has the authority to act for the Sterling Family Trust.

Here's the preview before the decision from the judge
Los Angeles News | FOX 11 LA KTTV

The next deadline for the proposed sale to Steve Ballmer is August 15th- the date of the next NBA owner's meetings. But the sale is still tentative pending all other litigation (which sends us back to the other two Donald Sterling lawsuits).

"We are pleased that the court has affirmed Shelly Sterling’s right to sell the Los Angeles Clippers to Steve Ballmer," said NBA spokesman Mike Bass in a statement. "We look forward to the transaction closing as soon as possible."

Donald Sterling's lead attorney, Bobby Samini, says he was told by his client that he was to keep proceeding in other legal activites and "keep fighting on other fronts."

Testimony In One Sterling Trial Wraps Up

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One down, and what is it...??? Two cases in play...???

The first-filed (that's probably the best way to phrase it...) case by Donald Sterling against Shelly Sterling determining who is in charge of the Los Angeles Clippers is finished with its testimony.

Closing arguments begin Monday...

Naturally, both sides, both lawyers, and both Sterlings are thinking that they're doing well in the case.
Here's the word from outside the courtroom...


The closing arguments will detail whether Shelly pulled an end-run in getting control over her estranged husband or if judge Michael Levanas will side with the physicians who have declared him mentally incompetent in running the Sterling Family Trust and the Los Angeles Clippers.

The other two cases Donald Sterling has against his estranged wife and the NBA are still in play at present and have no end of discussions- whether frivolous or optimistic.

So Donald Sterling May Need A Sale To Cover A Huge Debt

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Darren Schield, the Chief Financial Officer of the Sterling Trust, took the stand in the court proceedings today in Los Angeles and admitted in open court that the Trust needs to sell the Clippers to cover half a billion dollars in outstanding loans for other Sterling properties.

Once Donald Sterling dissolved the Trust, the banks that are holding the notes could jump in and declare the Sterlings in default of the notes.

If the Clippers aren't sold, Schield admitted that Donald Sterling would have to dump that same amount of value in apartment buildings or other Sterling properties- a move that could flush the real estate market into the toilet.

Here's the coverage from the trial today that isn't all that optimistic


Ramona Shelburne said after the trial appearances today, Donald Sterling met with possible-new owner Steve Ballmer and his estranged wife, Shelly.

Sterling Trial Delayed: Donald Wants A Federal Court Date

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It's called "procedural limbo..."

Donald Sterling's attorneys are looking to move the competency trial to a federal location instead of the Los Angeles District Court. Sterling wants the federal court to determine if his privacy was violated when his medical records were given to his wife, Shelly.

The judgment will determine whether or not Shelly Sterling has (or even had) the authority to negotiate a sale of the Clippers on behalf of the family trust or if the privacy violation wipes all of those activities out.

Donald Sterling maintains he was "tricked" into the examination and that the information has no bearing on his capacity to manage, own, or even execute day-to-day operations of the franchise.

Here's the early thoughts from Los Angeles...


The deadline for the sale is supposed to be by July 15th.

Sterling Versus Sterling Set For July

((HT: NBC Los Angeles))

It will be a four-day event in July- the probate court review of Donald Sterling disavowing his wife, Shelly's, idea of making the sale of the Los Angeles Clippers to Steve Ballmer. The court denied Shelly Sterling's call for relief.

Bobby Samini, the representative attorney for Donald Sterling at the hearing, says that his side will bring their own experts testifying on his client's mental state. Samini, naturally, says his client is fine for his age.

But ESPNLA's Ramona Shelburne got to pour over court documents that included the appraisals of Donald Sterling's mental state.

A sample from the three physicians:

One doctor, James E. Spar, who is affiliated with the division of geriatric psychiatry at UCLA, said he believes "Mr. Sterling is at risk of making potentially serious errors of judgment, impulse control and recall in the management of his finances and his trust.''

"In my opinion he is substantially unable to manage his finances and resist fraud and undue influence, and is no longer competent to act as trustee of his trust,'' Spar concluded.

Here's the view from Shelly Sterling's lead attorney, Pierce O'Donnell, outside the courtroom

Now, It's Shelly Sterling Heading To Court

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Shelly, it's your turn...

She will go to probate court to seek an emergency order for a hearing so a judge can confirm that, as representing the Sterling Family Trust, she is the one who can sell the Los Angeles Clippers to Steve Ballmer and that her estranged husband's behavior is still erratic and unrepresentative of the family on the whole.

Shelly Sterling will contend she is the sole trustee of The Sterling Family Trust, which owns the Clippers. Donald Sterling was stripped as co-trustee after, in accordance to Family Trust by-laws, two neurologists determined Donald Sterling was suffering from Alzheimer's and/or dementia and could, therefore, be considered to be “mentally incapacitated.”

Shelly Sterling’s lawyers will ask to confirm the trust by-laws as they are written so the sale can go forward. Donald Sterling can present his side and can appeal any decision in the chain.

“We expect to oppose Shelly’s efforts to take over the trust and sell the team without (Donald Sterling’s) consent,” Maxwell Blecher said in an email to CBS News.

Of course, you do...

Here's the early ideas from when Donald Sterling decided to take his next step...

Donald Sterling Diagnosed With Alzheimer's, Thus The Trust's Moves

((HT: TMZ Sports/ESPNLA))

TMZ is reporting on the Clips on a few fronts...

First, that the Ballmer bid of $2-billion is all cash...

Second, that Donald Sterling was diagnosed with Alzheimer's Disease.

From the TMZ article:

We're told earlier this month Donald agreed to an examination by 2 prominent neurologists. He underwent extensive tests, including a CT and PET scan. We're told both doctors diagnosed Donald with Alzheimer's and concluded he may have had the disease for as long as 5 years. The doctors both concluded he did not have the ability to conduct the business of the team.

If two doctors come up with the same diagnosis, the Trust can then take over for the incapacitated partner. That meant that Shelly Sterling could do what she wanted when it came to the proposed sale of the club to another party.

ESPN's Ramona Shelburne confirms the Alzheimer's diagnosis.

Here's your live shot outside of Staples Center to recap Thursday in the Clippers saga
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Mental Incapacitation Gives Sterling Trust Green Light With Ballmer

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From Ramona Shelburne at ESPN again:

Espn has learned that experts had declared Donald Sterling mentally incapacitated, leaving Shelly as sole trustee & power to sell the team

That way, Shelly Sterling didn't need anything resembling her husband's permission to negotiate a deal.

Here's the early thoughts on the deal heading to the NBA office
Los Angeles Local News | FOX 11 LA KTTV

The next move is Donald Sterling's, but he'll have to go after his wife first before chasing the NBA.

From James Rainey, Andrea Chang, and Chris O'Brien:

Bobby Samini, an attorney for co-owner Donald Sterling, said as he left Sterling's home: "There's been no sale. There can be no sale without Donald's signature."

Ah, the layers...