Frank and Jamie McCourt reach a settlement (updated)

I will make an effort to update this page throughout the day:

Fine reporting from Bill Shaikin of the LA Times. Here are the key points:

• The settlement is contingent upon MLB's approval of McCourt's $3 billion television contract with Fox.

• If Bud Selig were to reject the agreement, the settlement would be voided and divorce court proceedings would resume.

• If Selig were to approve the agreement, Jamie McCourt has agreed not to challenge the Fox contract.

• The McCourts agreed to a one-day trial so that the judge can determine whether the Dodgers belong solely to Frank or should be considered community property.

• If the judge rules that the Dodgers are community property, the McCourts would split their assets 50-50, which would most likely force a sale of the team.

• If the judge rules that the team belongs solely to Frank, then Jamie would receive "$100 million, keep the couple's homes and receive indemnity from tax liability."

Full story here.

Update 1: 

Molly Knight via Twitter posted the following in two successive tweets:

Source: Selig unlikely to approve Fox deal partly because if judge rules team is community property and orders sale on Aug 4 then . . . the new owner is saddled with potentially below market television deal that devalues the franchise.

Update 2:  
Via 6-4-2, reaction from Frank and Jamie McCourt following the settlement. Here's Frank being pollyannaish:

I fully expect MLB to approve the Fox transaction. MLB has taken the position that, before they approved the transaction, they wanted to see either a settlement of the divorce, or Jamie's consent, or an order from the judge. Today, they received all three. I fully expect that they will be good to their word, and they'll approve the transaction in a timely way.

Full story here. 

Update 3: 

In a follow up to his earlier report of a settlement between Frank and Jamie McCourt, Bill Shaikin writes that before Frank can secure ownership of the Dodgers, two things have to happen:

• MLB must approve the proposed TV deal between McCourt and Fox.  

• McCourt must establish that he is the sole owner of the Dodgers in a one-day trial on Aug. 4. If not, the settlement stipulates that the team must be sold. 

The rejection by Bud Selig of the Fox TV contract would cause unmitigated delight to the Dodger fanbase. But with the celebration comes a grim admonishment, per Shaikin:

The settlement announcement dramatically increases the likelihood of a confrontation between McCourt and Bud Selig, baseball's commissioner.

 Full story here.