Oakland A's, Coliseum Argue Over Skipped Rent Payment | Athletic Business

Oakland A's, Coliseum Argue Over Skipped Rent Payment

The Oakland Athletics have allegedly said that the COVID-19 pandemic and corresponding suspension of the Major League Baseball season have taken away their ability to pay rent on the Coliseum.

According to The Mercury News, a San Jose newspaper, Coliseum Authority is seeking out the $1.2 million in rent that the A’s were scheduled to pay on April 1. Coliseum Authority interim executive director Henry Gardner confirmed Tuesday that the A’s have said they didn’t pay because they haven’t been able to use the city and county-owned stadium.

“They said because they haven’t used it, they were not able to generate revenue and they have no ability to pay,” Gardner said. “We recognize that we’ve all been upended in a number of ways. Maybe there are some things we are willing to negotiate and waive, but we can’t just say no rent.”

The East Bay Times obtained a March 31 letter in which A’s general counsel D’Lorna Ellis cited “force majeure,” a clause in the team’s contract with the city that relieves both sides from obligation when there is an extraordinary event. The letter reportedly also said that the Coliseum was being looked at as a potential “surge site” for COVID-19 patients. Ellis said the A’s supported using the Coliseum in that way, but would defer payment until they had a better understanding of when they could use the facility.

The A’s were scheduled to open the 2020 MLB season at home March 26 against the Minnesota Twins. A home game against the Texas Rangers was originally scheduled for Wednesday, making it the 29th game at the Coliseum that has been postponed while the MLB season is suspended.

Related content: MLB Proposing Plan to Start Season Regionally in July

The MLB is working through a proposal to play a condensed 82-game season starting in July. The league has estimated that playing games without fans in the stands would cost about $640,000 per game. California is one of the states that has said they are preparing for the return of professional sports in the coming weeks.

Related content: N.Y., Calif., Texas Governors Plan Pro Sports’ Return

The Mercury News reported that the city and county are still $55 million in debt after the Coliseum renovations made in 1995. The Stadium Authority is also in a legal battle with the Golden State Warriors over about $48 million in debt at the Oakland Arena.

Coliseum Authority board member Ignacio De La Fuente said that it’s not the city or state’s fault that the Coliseum has been closed to the A’s.

“I’m going to make sure we do whatever we can to make them play,” De La Fuente said. “It’s just an excuse to try to not pay when the city needs the money most.”

Related content: Games Played Without Fans Could Prove Costly

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