Donald Sterling Is In Danger Of Defaulting On $US500 Million In Loans If He Refuses To Sell The Clippers

Disgraced Los Angeles Clippers owner Donald Sterling met with former Microsoft CEO Steve Ballmer on Monday following a three-hour meeting with Sterling and his wife, Shelly, according to Ramona Shelburne of

While no settlement was reached and the details of the meeting are not known, the implication is that Sterling may once again be open to the idea of withdrawing his fight of the $US2 billion sale of the Clippers negotiated by his wife.

If Sterling is loosening his grip on the team, it may be as a result of his own decision to dissolve the Sterling Family Trust and the subsequent pressure now coming from banks because of the move.

Sterling dissolved the family trust in a move designed to stop the trust’s sale of the team.

Darren Schield, who oversees the finances of The Sterling Family Trust, testified during Sterling’s probate trial that three banks are ready to recall loans made to Sterling after he dissolved the trust. Schield also testified that Sterling would have to sell $US500 million worth of apartment buildings, a move that would have huge implications for the Los Angeles real estate market, if he continues to fight the sale of the Clippers.

When asked if the family trust had $US500 million to cover the loans if they do go into default, Schield said “we do not.”

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