Donald Sterling

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Donald Sterling
Donald Sterling.jpg
Sterling in 1989
Born Donald Tokowitz
(1934-04-26) April 26, 1934 (age 80)
Chicago, Illinois, U.S.
Residence Beverly Hills, California, U.S.
Nationality United States
Ethnicity Jewish[1]
Alma mater California State University, Los Angeles (B.A.)
Southwestern Law School (J.D.)
Occupation Real estate developer, owner of Los Angeles Clippers
Known for Owner of Los Angeles Clippers
Home town Chicago, Illinois, U.S.
Net worth IncreaseUS$1.9 billion (April 2014)[2]
Spouse(s) Rochelle Sterling (née Stein)
Children 3

Donald T. Sterling (born Donald Tokowitz, April 26, 1934) is an American business magnate and former attorney. He is the owner of the Los Angeles Clippers professional basketball franchise of the National Basketball Association (NBA). Sterling acquired the Clippers in 1981 for $12.5 million, and as of 2014, the team is valued at $575 million by Forbes magazine,[3] ranking them 13th out of 30 teams. At 33 seasons of ownership (1981 to present), Sterling has been the longest-tenured owner in the NBA since the death of Los Angeles Lakers majority owner Jerry Buss in 2013.

On April 29, 2014, Sterling was banned from the NBA for life and fined $2.5 million by the NBA after recordings of him making racist comments were made public.[4]

Early life and education

Donald Sterling was born Donald Tokowitz on April 26, 1934 in Chicago, Illinois.[5][6][7] His family moved to the Boyle Heights area of Los Angeles when he was two years old. His parents, Susan and Mickey, were Ashkenazi Jewish immigrants.[8][9][10] He attended Theodore Roosevelt High School in Los Angeles, where he was on the school's gymnastics team and served as class president; he graduated in 1952. He next attended California State University, Los Angeles (Class of 1956) and Southwestern University School of Law (Class of 1960) in Los Angeles.[11]

When he was 25 (after he was married), he and his wife Rochelle changed their surname to "Sterling", filing a formal petition to do so with the California superior court on December 9, 1959.[12] They cited the difficulty among his peers to pronounce "Tokowitz" and the belief that there would be financial benefits for the change.[12]

Legal and real estate career

Starting in 1961, Sterling began to make his career as a divorce and personal injury attorney building an independent practice when Jews had few opportunities at prestigious law firms.[13] His biggest ventures were in real estate, which he began when he purchased a 26-unit apartment building in Beverly Hills.

In the 1960s, Sterling also purchased Lesser Towers, a pair of large apartment buildings in the Westwood area of Los Angeles,[14] and renamed them the Sterling Towers (now the Sterling International Towers).[citation needed]

NBA ownership

Sterling and Los Angeles Lakers majority owner Jerry Buss were each indirectly responsible for the other owning his respective NBA franchise. The first instance came in 1979, when Buss used the money he made from selling a portion of his apartment buildings to Sterling (worth $2.7 million), which covered the remaining balance in purchasing the Lakers, the Kings hockey team, and The Los Angeles Forum from Jack Kent Cooke for $67 million. Two years later, Buss suggested to Sterling that he could purchase his own NBA franchise, and Sterling bought the struggling San Diego Clippers for $12.5 million. Unlike Buss' instant success with the Lakers (including winning an NBA championship in his first season as owner, 1979–80), Sterling and his Clippers struggled through many lackluster seasons, and they did not have their first winning season until the 1991–92 season, eleven years into his ownership. In Sterling's 33 years of owning the Clippers through 2013–14, the Clippers lost 50 or more games 22 times, 60 or more on eight occasions, and 70 games once. Their 9–41 record in the lockout-shortened 1998–99 season projected to another 60-loss season.[15]

Sterling in 1982 was fined $10,000 by the NBA after he commented that he would accept the Clippers finishing in last place in order to draft an impact player like Ralph Sampson.[16] In 1984, Sterling moved the Clippers from San Diego to Los Angeles. However, the move was not approved by the NBA, which fined him $25 million. He sued the league for $100 million, but dropped the suit when the league agreed to decrease the fine to $6 million.[8] Sterling has been widely criticized for his frugal operation of the Clippers, due in part to a consistent history of losing seasons. The club was long considered the laughingstock of the NBA.[17][18][19][20] With the Clippers' move into Staples Center in the 1999–2000 NBA season, the team began to become a contender, winning 47 games in the 2005–06 season. This was a record for the most victories in a single season since the franchise moved to California. It was also only the second winning season in Sterling's tenure as owner. In the lockout-shortened 2011–2012 season they made the playoffs with the best winning percentage in their history (.606) and they won their first round series against the Memphis Grizzlies, 4–3, before being swept by the San Antonio Spurs, 4–0, in the conference semi-finals. Led by Blake Griffin and Chris Paul, the Clippers posted two more winning campaigns in 2012–13 and 2013–14, setting new franchise records for regular-season wins with 56 and 57, respectively.

Sterling rebuffed numerous offers from other cities to relocate the Clippers and has been steadfast in his refusal to move the team out of Los Angeles, let alone sell the team. While the team played a few games in Anaheim in the Arrowhead Pond (now the Honda Center) for a few years before the Staples Center opened, he has not been willing to move the team there permanently. In recent years, he has shown an increased willingness to spend. In 2003, Sterling signed Elton Brand to a six-year, $82 million deal, the biggest contract in franchise history. He matched the contract the Utah Jazz offered restricted free agent Corey Maggette: a deal worth $45 million over six years. The Clippers have signed higher-priced veteran free agents, such as Cuttino Mobley in 2005, Tim Thomas in 2006, and Los Angeles native Baron Davis in 2008. In another first during the Sterling tenure of Clippers ownership, the team gave a four-year contract extension to head coach Mike Dunleavy, Sr., as well as a five-year extension to center Chris Kaman. Both extensions took effect starting in the 2007–08 NBA season.

Under Sterling's ownership, only Dunleavy and Bill Fitch (1994–1998) have lasted four seasons or more as Clippers head coach; as of the 2009–10 NBA season, Dunleavy entered his seventh season as Clippers head coach, by far the longest tenure in franchise history, but was relieved of his coaching duties on February 4, 2010. Dunleavy was also the club's general manager, but was fired from that position a month later.[21] The Clippers accused Dunleavy of defrauding the team, and he sued the club for money owed on the remainder of his contract; an arbitrator ordered the Clippers to pay Dunleavy $13 million in 2011.[22] The Clippers also went to court with former head coaches Fitch and Bob Weiss.[23] Weiss, who signed a three-year contract but was fired in 1994 after one season, had to sue to receive money that was still owed him.[23][24][25] In 2001, the Clippers sued the 63-year-old Fitch, whom the team had fired in 1998, after they stopping paying him for failing to seek employment to reduce the team's obligation for payment.[23][25][26] The suit reached an undisclosed settlement before going to court.[25]

Sterling spent $50 million to build a state-of-the-art practice facility and team headquarters in Los Angeles' Playa Vista mixed-use development neighborhood. This followed the lead of several other NBA franchises, including the Lakers, Sacramento Kings, Cleveland Cavaliers, and Detroit Pistons, in having their own facility dedicated exclusively for team use. The facility was completed and opened in September 2008, in time for the start of the team's training camp. The team previously practiced at a local health club in suburban El Segundo, and before that at Los Angeles Southwest College.[citation needed]

Sporting News described Sterling as "one of the worst owners in basketball for decades",[27] while The New York Times and Forbes have called him the "worst owner" in sports.[28][29] ESPN The Magazine in 2009 named the Clippers the worst franchise in professional sports.[29][30] Since purchasing the Clippers in 1981, Sterling's ownership oversaw the worst winning percentage through 2013–14 of the four major American sports leagues.[31] Uncharacteristic for an owner, Sterling in 2010 heckled players on his own team—with Baron Davis receiving the harshest treatment—while the owner sat courtside during home games.[32][33]

Recorded racial remarks and lifetime ban

On April 25, 2014, TMZ Sports released a recording of a conversation between Sterling and a female friend, V. Stiviano.[34][35] In the recording from September 2013, a man confirmed to be Sterling was irritated over a photo Stiviano had posted on Instagram, in which she posed with Basketball Hall of Fame player Magic Johnson.[34][36] Sterling told Stiviano: "It bothers me a lot that you want to broadcast that you're associating with black people", and, "You can sleep with [black people]. You can bring them in, you can do whatever you want", but "the little I ask you is ... not to bring them to my games."[37][38][39]

Clippers president Andy Roeser issued a statement the following day, indicating that Stiviano was being sued by the Sterling family and had "told Mr. Sterling that she would 'get even'" with him.[40][41] A month earlier in March, Sterling's wife had sued Stiviano for the return of a $1.8-million Los Angeles duplex as well as a Ferrari, two Bentleys, and a Range Rover she said her husband bought for Stiviano.[42][43][44]

Sterling's comments affected the NBA, a league with predominantly black players.[45][46] On April 26, 2014, the team held a meeting to discuss the incident. Both coaches and players expressed anger toward the comments, and they briefly raised the possibility of boycotting Game 4 of their series against the Golden State Warriors on April 27, 2014, before deciding against it.[47] Instead, players protested Sterling's remarks by wearing their shirts inside-out in order "to obscure any team logo" during their pre-game huddle.[48] The next day, April 28, 2014, players of the Miami Heat wore their uniform tops inside-out to show solidarity with the Clippers. LeBron James commented on the situation, "There's no room for Donald Sterling in the NBA." The owner of the Miami Heat, Micky Arison, also called the allegations “appalling, offensive and very sad".[49] NBA's Kevin Johnson, Kareem Abdul-Jabbar, Magic Johnson, Charles Barkley, Shaquille O’Neal, and Kobe Bryant also condemned Sterling's remarks.[50][51]

The Los Angeles chapter of the National Association for the Advancement of Colored People (NAACP) cancelled its plans for the following month to award Sterling for a second time with its lifetime achievement award.[52] President Barack Obama characterized the recording of Sterling as "incredibly offensive racist statements".[53] Chumash Casino, the Clippers' most visible sponsor during the prior four seasons, ended its relationship with the team, as did sponsors CarMax and Virgin America. Other sponsors and advertisers suspended their relationships with the Clippers while continuing to monitor the situation.[54]

On April 29, 2014, NBA commissioner Adam Silver announced that Sterling had been banned from the league for life and fined $2.5 million, the maximum fine allowed by the NBA constitution.[34][55] Silver stripped Sterling of virtually all of his authority over the Clippers, and banned him from entering any Clippers facility. He was also banned from attending any NBA games.[34][56] The punishment was one of the most severe ever imposed on a professional sports owner.[36] Moreover, Silver stated that he would move to force Sterling to sell the team, based on a willful violation of the rules, which would require the consent of three-quarters, or 22, of the other 29 NBA team owners.[57] Sterling's wife, Rochelle, has co-owned the team with him since 1981, and she has served as one of the team's two alternate governors.[58] While she was not included in the NBA's ban on Sterling, [59] the league stated that "if a controlling owner's interest is terminated by a 3⁄4 vote, all other team owners' interests are automatically terminated as well."[60]

On April 29, 2014, UCLA announced that it was rejecting a $3 million gift from Sterling.[61]

Such disparate figures as Dennis Prager, Joyce Carol Oates, and Kareem Abdul-Jabbar ask if Sterling "has been unfairly stripped of his privacy ..."[62]Sterling apologizes, says he is 'not a racist'.[63]

Discrimination lawsuits

In February 2003, the Housing Rights Center of Los Angeles filed a housing discrimination case against Sterling on behalf of 18 tenants. The lawsuit featured several racist statements allegedly made by Sterling to employees, such as that "black people smell and attract vermin" and "hispanics just smoke and hang around the building" as well as Sterling's alleged intent to rent only to Korean tenants because "they will pay the rent and live in whatever conditions I give them." Part of the HRC case's resolution included U.S. District Judge Dale Fischer awarding the plaintiffs' attorney $4.9 million in attorneys fees. While the final terms for the plaintiffs were confidential, the judge said the fees were justified as the settlement obtained by the plaintiffs against Sterling was one of the largest of its kind and the public benefit terms were significant and wide-ranging.

In 2006, the U.S. Department of Justice then sued Sterling for housing discrimination for using race as a factor in filling some of his apartment buildings. The suit charged that Sterling refused to rent to non-Koreans in the Koreatown neighborhood and to African Americans in Beverly Hills.[64] In November 2009, ESPN reported that Sterling agreed to pay a fine of $2.7 million to settle claims brought by the Justice Department and Davin Day of Newport Beach[citation needed] that Sterling engaged in discriminatory rental practices against Hispanics, blacks, and families with children.[65]

In February 2009, Sterling was sued by former longtime Clippers executive Elgin Baylor for employment discrimination on the basis of age and race.[66] The lawsuit alleges Sterling told Baylor that he wanted to fill his team with "poor black boys from the South and a white head coach".[64] The plaintiff's allege that during negotiations for Danny Manning, Sterling said "I'm offering a lot of money for a poor black kid."[64][67] The suit noted those comments while alleging that "the Caucasian head coach was given a four-year, $22-million contract" while Baylor's salary had "been frozen at a comparatively paltry $350,000 since 2003".[66]

Personal life

In 1955, Sterling married Rochelle ("Shelly") Stein, with whom he had three children: Scott Sterling, Chris Sterling, and Joanna Sterling. Joanna's husband, Eric Miller, is currently an executive with the team, serving as director of basketball administration.

Sterling's son Scott died accidentally in December 2012 at the age of 32 after injecting himself with narcotics that were formulated for oral use.[68]

Sterling had a relationship with a woman named Alexandra Castro. Seeking the return of a house she was living in, Sterling sued her in 2003 after their relationship ended.[28][69] Castro stated that Sterling consulted her on Clippers personnel decisions.[28] Earlier in 1999, Sterling had Castro sign a contract that offered him protection from her seeking palimony, which divides assets between unmarried couples. Their agreement read that Sterling "is happily married, has a family and has no intention of engaging in any activity inconsistent with his domestic relationship."[70][71] Sterling and Castro reached a confidential settlement out of court in 2004.[69]

References

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  5. Jump up ^ Cruz, Daniel Joseph (2014-04-29). "'LA Clippers' team owner Donald Sterling's bad 'karma' pile up after 'racist remarks'". International Business Times, A.U. Edition. "Donald Sterling, born April 26, 1934..." 
  6. Jump up ^ Wharton, David; Pfeifer, Stuart; Hsu, Tiffany (April 29, 2014). "Donald Sterling has options to weigh after NBA ban". Los Angeles Times. Archived from the original on May 8, 2014. "...during the Depression in Chicago, where he was born Donald Tokowitz..." 
  7. Jump up ^ Bolch, Ben (April 26, 2014). "Clippers owner Donald Sterling in firestorm over alleged racist remarks". Los Angeles Times. "...the billionaire, who turned 80 on Saturday" .
  8. ^ Jump up to: a b Lidz, Franz (April 17, 2000). "Up And Down In Beverly Hills". Sports Illustrated. Archived from the original on April 27, 2014. 
  9. Jump up ^ Haaretz: "Jewish groups condemn Donald Sterling remarks" April 28, 2014
  10. Jump up ^ Daily Jewish Forward: "NBA's Donald Sterling Tells Girlfriend, 'In Israel, Blacks Are Treated Like Dogs'" April 28, 2014
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  14. Jump up ^ The Los Angeles Times, September 18, 1966
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  56. Jump up ^ Transcript: Commissioner Adam Silver news conference from NBA.com
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  63. Jump up ^ http://www.nba.com/2014/news/05/11/sterling-apologies.ap/index.html Los Angeles Clippers owner Donald Sterling apologized Sunday for racist comments captured on tape, saying they were a "terrible mistake."
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  67. Jump up ^ Lisa Dillman, Mention of David Stern is an error in Elgin Baylor's lawsuit, Los Angeles Times, February 14, 2009, Retrieved February 13, 2009.
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  70. Jump up ^ Dockterman, Eliana (May 9, 2014). "Donald Sterling’s ‘Friendship Agreements’ Explained". Time.com. Archived from the original on May 12, 2014. 
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External links

Wikinews has related news: LA Clippers owner receives lifetime ban from NBA for racist comments
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