Court hears FOX's stay request in Dodgers case

LOS ANGELES -- A U.S. District Court judge heard two hours of arguments on Thursday in FOX's request of an emergency stay that would block a bankruptcy court ruling allowing the Dodgers to accelerate the sale of their future broadcasting rights.

FOX also is appealing that decision of U.S. Bankruptcy Court Judge Kevin Gross to U.S. District Court Judge Leonard Stark, who has a hearing set for Jan. 12 in Delaware. Stark did not indicate when he would rule on the emergency stay.

FOX contends the accelerated sale of the rights violates its contract with the Dodgers to broadcast games through 2013, with an exclusive 45-day negotiation window after the '12 season.

Gross allowed the Dodgers to move up that window through Jan. 19, and if no agreement between the club and the network is reached, an auction will be conducted that would help establish a value for the rights and be reflected in the purchase price for the club, which also is up for sale.

Attorneys for the Dodgers and creditors contend that the accelerated sale of rights increases the chances that all creditors will be paid in full. FOX argues that it will suffer massive damages, and the viability of the FOX Prime Ticket affiliate will be at risk if the bankruptcy court is allowed to change the terms of its contract with the club.

The sale of the club and the broadcasting rights are the result of a settlement between the Dodgers and Major League Baseball, which rejected an accelerated rights deal between the club and FOX in June that would have paid the Dodgers $3 billion over 17 years.