Jeanie Buss Files Petition to Block $12.5 Billion Lakers Share Sale

Los Angeles Lakers controlling owner Jeanie Buss filed a petition Wednesday to stop five siblings from selling family shares valued at $12.5 billion.

Jeanie Buss filed a petition in Los Angeles Superior Court on Wednesday to challenge the legality of a vote by her five siblings to sell the family’s remaining shares in the Los Angeles Lakers. This legal action follows a reported agreement by majority owner Mark Walter to sell to Josh Kushner and Bob Iger at a $12.5 billion valuation. The controlling owner argues that the family trust must retain an interest sufficient to maintain control and capitalize on the franchise's skyrocketing value.

Joining Jeanie Buss in the decision to retain their stakes are Lakers minority owners Ed Roski and Dr. Patrick Soon Shiong. The dispute centers on a vote taken last week by the five siblings to tag along to the Walter-Kushner-Iger transaction. While the siblings contend that a sale only requires approval from four of the six siblings and two of the three co-trustees, Jeanie Buss’s legal team disputes this interpretation of the family trust’s governing rules.

Legal Challenges to the Family Trust Vote

Attorney Adam Streisand, representing Jeanie Buss, characterized the siblings' actions as devious behavior in the Wednesday filing. The petition alleges the vote was a calculated effort to create a public fait accompli before the controlling owner could formulate a response. A letter was previously sent to the siblings' lawyers last week immediately following reports of the vote by ESPN’s Shams Charania.

Court documents reveal that Joey Buss signed his vote to sell the family shares on the day prior to ESPN reporting the agreement between Walter, Kushner, and Iger. This timeline is cited in the petition as evidence of the orchestrated nature of the siblings' attempt to exit their positions in the NBA franchise. The filing emphasizes that maintaining the current ownership structure is in the best interest of the trust.

Ownership Stakes and Valuation Metrics

The $12.5 billion valuation set by the Mark Walter sale serves as the benchmark for the shares currently held by the Buss family trust. Jeanie Buss maintains that the franchise's value continues to rise, making the retention of shares a financial necessity for the trust's beneficiaries. The petition seeks to invalidate the previous week's vote and prevent the transfer of the remaining family-held interest to the new investment group led by Kushner and Iger.

Impact of Minority Owners

The alignment of Dr. Patrick Soon Shiong and Ed Roski with Jeanie Buss strengthens her position to maintain the status quo of the Lakers' front office and ownership hierarchy. These minority owners have explicitly stated their intent to retain their respective stakes alongside the controlling owner. The legal battle in Los Angeles Superior Court will determine if the five siblings can bypass Jeanie Buss’s authority to force a liquidation of the family's remaining equity in the team.