Legal Battle Over Padres Ownership: A Family Feud Unfolds
In a dramatic turn of events that has captivated the baseball world, Sheel Seidler, the widow of the late San Diego Padres chairman Peter Seidler, has taken legal action against two of his brothers. The lawsuit, filed in a Texas court, is an attempt by Sheel to become the team’s control person, a role she claims was intended for her by her late husband.
According to the complaint, Sheel Seidler and her three children have been “effectively ostracized” from the Padres organization since Peter Seidler’s untimely death 14 months ago. The suit names Robert and Matthew Seidler as defendants, accusing them of “fiduciary breaches of trust, fraud, conversion and egregious acts of self-dealing” in their roles as trustees and executors of Peter Seidler’s trusts.
The Padres organization announced on December 21 that Peter’s oldest brother, John Seidler, would assume the role of the team’s control person. This decision was met with opposition from Sheel, who claims it contradicts her late husband’s wishes.
In a statement, Sheel Seidler asserted, “[A]s the holder of the largest individual ownership stake in the San Diego Padres, and the sole beneficiary of the Seidler Trusts, which possesses exclusive rights with respect to control of the franchise, I am seeking to be named the control person of the Padres.”
While the Padres have declined to comment on the ongoing legal matter, representatives for Robert and Matthew Seidler were not immediately available for comment.
Peter Seidler, who was a two-time cancer survivor, passed away from complications of an infection on November 14, 2023. He left behind Sheel and their children, who are now ages 4, 9, and 11. Initially, Eric Kutsenda, a longtime friend and business partner, was named interim control person before handing over responsibilities to John Seidler 13 months later.
Sheel Seidler’s complaint alleges that assurances from Peter’s four brothers to act in the best interest of Sheel and the children have proven to be “hollow” since his passing. The complaint further accuses Matthew and Robert Seidler of disregarding the terms of Peter’s will and trust, scheming to take control of the estate and Seidler trusts’ assets for themselves.
The complaint states, “They have done so by misleading Sheel, engaging in conflicted transactions and egregious acts of self-dealing, and when Sheel began expressing concern and questioning their actions, they responded by demeaning and attempting to intimidate her — including by using trust assets to pay lawyers to threaten her into submission and silence.”
Another part of the complaint reads, “They are trying to erase Peter’s vision and legacy, as well as falsely cast themselves as Peter’s true heirs.”
Under Peter Seidler’s leadership, the Padres transformed into a financial powerhouse, signing and retaining star players and competing with big spenders like the New York Yankees and the Los Angeles Dodgers. The team enjoyed immense fan support, setting attendance records at Petco Park.
The highlight of Seidler’s ownership came in October 2022 when the Padres defeated the rival Dodgers in the National League Division Series, a team Peter once referred to as “the dragon up the freeway that we’re trying to slay.” Unfortunately, the Padres were eliminated in the following round.
Following Seidler’s death, the Padres faced financial challenges, including the loss of their local media contract due to Diamond Sports Group’s bankruptcy. As a result, the team reduced its payroll by about one-third. Despite these setbacks, Padres general manager A.J. Preller managed to field a competitive team in 2024, winning 93 games and making the playoffs for the third time in five years. The team nearly defeated the Dodgers in the NLDS once again.
Peter Seidler had always expressed his desire to bring San Diego its first championship, a city that had lost its NFL team. Sheel Seidler believes she is the right person to fulfill that dream.
Sheel stated, “While the children and I feel Peter’s absence every day, our collective devotion to this team is stronger than ever. Peter and I always planned, one day, to leave the team to the children. That remains my steadfast commitment. In the meantime, it is my intention to build upon the many recent successes, investing in both the short-term and long-term future of the franchise, and ensuring our dream of multiple championships is fulfilled.”
John Seidler’s appointment as control person is pending approval from three-quarters of Major League Baseball’s owners. A vote has not been scheduled but could occur as early as the upcoming owners’ meetings in February.
Sheel Seidler’s complaint also alleges that she and her children are not welcome in the ownership suite during games and that Robert and Matthew Seidler have informed Padres employees that Sheel is not an owner of the team. They have reportedly excluded her from interacting with free agents and current players, as well as from charitable events honoring Peter Seidler’s legacy.
The complaint includes what is claimed to be a handwritten note from Peter Seidler, listing priorities for the control person in the event of his death, with Sheel and the children at the top.
- Sheel and the children own approximately one-quarter of the Padres.
- The complaint alleges that Matthew and Robert Seidler have “frozen Sheel out” and deprived her of the benefits of being the largest beneficial owner of the baseball team.
- Sheel Seidler remains committed to fulfilling Peter’s vision for the Padres.
Originally Written by: Alden Gonzalez