Two real estate developers from Hawaii have brought a lawsuit against Shohei Ohtani, the superstar pitcher for the Dodgers, and his agent, Nez Balelo. They claim Balelo interfered with their $240 million luxury housing project, which had been in the works for over ten years.
According to their complaint, Balelo, who works with the Creative Artists Agency, devised a “calculated and unlawful scheme” that led to the developers losing their roles. Ohtani was a public face supporting the project, having bought a $17 million home there. The developers argue that Balelo and Ohtani violated their contractual rights by demanding changes and ultimately getting them fired.
A person close to Balelo stated, “This is just a very standard business dispute.” They believe the accusations are an attempt to distract from their own issues. The lawsuit claims Balelo threatened the project’s financial partner, Kingsbarn Realty, saying they needed to dismiss key players or face potential legal action tied to Ohtani’s Name, Image, and Likeness rights.
Balelo was the primary contact for the developers, who are now questioning whether Ohtani knew about his agent’s actions. “The agent was doing business on his behalf, so he’s responsible for the agent ultimately,” said Josh Schiller, the attorney representing the plaintiffs.
Ohtani recently signed a 10-year, $700 million contract with the Dodgers and won his third MVP award. He is expected to earn $100 million just from endorsements in 2025, dwarfing other MLB players who earn a fraction of that amount.
The developers originally pitched the project in 2013, hoping Ohtani’s fame would attract wealthy buyers. They claim Balelo became a “destructive force,” interfering in every aspect and creating a hostile environment, which ultimately led to their exclusion from the project. On July 17, Hayes was removed from his position, and Matsumoto was let go.
Much of the lawsuit is currently redacted, but the plaintiffs have requested that these sections be unsealed, claiming they relate to key contractual terms between Ohtani and themselves.
Schiller believes Balelo’s threats are unfounded, stating, “I don’t think they have a basis for that.” This case highlights the complexities and pressures in high-stakes partnerships, especially in the worlds of sports and real estate, where celebrity influence can reshape business dynamics.
As these developments unfold, it raises questions about the role of agents and how their actions can impact significant projects. Balelo’s alleged interference serves as a reminder of the power dynamics at play when high-profile personalities are involved in serious business ventures.
For further reading on the impact of celebrity endorsements in business, check out this report from Forbes.
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Los Angeles Dodgers, MLB, Sports Business
