In an effort to take control of the franchise, Sheel Seidler, the widow of the late San Diego Padres chairman Peter Seidler, filed a lawsuit against two of his siblings on Monday.
Since Peter Seidler’s death 14 months ago, Sheel Seidler and her three children have been “effectively ostracized” from the group, according to a complaint she filed in Texas probate court. Robert and Matthew Seidler are named as defendants in the lawsuit, which charges the brothers with “fiduciary breaches of trust, fraud, conversion, and egregious acts of self-dealing” while serving as Peter Seidler’s executors and trustees.
Sheel objected and says it went against her late husband’s desires when the Padres announced on December 21 that John Seidler, Peter’s older brother, would take over as the team’s manager.
Sheel described her case as “a very last resort” in a statement, saying it was necessary to “protect my family and to continue to carry out Peter’s legacy.”
“[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 for the Padres,” Sheel Seidler stated in her statement.
Citing the Padres’ position on ongoing legal issues, a representative for the team declined to comment. It was not immediately possible to get in touch with Robert and Matthew Seidler’s representatives for comment. An spokesperson from Major League Baseball declined to comment as well.
Sheel and their children, who are currently aged 4, 9, and 11, were left behind after Peter Seidler, a two-time cancer survivor, passed away on November 14, 2023, due to complications from an infection. After 13 months, longtime friend and business colleague Eric Kutsenda was appointed interim control person, effectively handing over duties to John Seidler.
According to Sheel Seidler’s complaint, Peter’s brothers’ promises to act in Sheel’s and the kids’ best interests have “shown to be hollow” after his passing.
Robert and Matthew Seidler “not only disregarded the clear terms and purpose of the will and trust instrument that Peter created, but they also have intentionally schemed to take for themselves the estate and Seidler trusts’ value rights and assets,” according to the complaint. “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.”
According to a another section of the complaint, “they are attempting to discredit Peter’s vision and legacy and falsely portray themselves as his legitimate heirs.”
The Padres became a financial powerhouse under Peter Seidler, acquiring and keeping top players and aligning themselves with high-spending teams like the Los Angeles Dodgers and the New York Yankees. Petco Park saw record attendance as fans came together to support the squad.
The Padres were acquired in 2012 by a consortium led by Peter Seidler, grandson of well-known former Dodgers owner Walter O’Malley, who became the team’s largest stakeholder and chairman eight years later. The Padres’ victory against the rival Dodgers, whom Peter once referred to as “the dragon up the freeway that we’re trying to slay”—in the National League Division Series in October 2022 marked the apex of Peter’s ownership tenure. However, the Padres were ousted the next round.
The Padres, who by then had lost their local media deal due to Diamond Sports Group’s bankruptcy proceedings, cut payroll by roughly one-third in the first offseason following Seidler’s passing.
However, in 2024, Padres general manager A.J. Preller led a competitive club that won 93 games, advanced to the postseason for the third time in five years, and came very close to defeating the Dodgers in the NLDS once more.
Seidler frequently said he hoped to win the first championship for San Diego, a city that had lost its NFL team. Sheel Seidler thinks she’s the one who can help make that fantasy a reality.
“While the children and I feel Peter’s absence every day, our collective devotion to this team is stronger than ever,” she wrote. “One day, Peter and I always intended to hand over the team to the kids. That is still my unwavering dedication. I plan to capitalize on the several recent victories in the interim, make investments in the team’s immediate and long-term future, and make sure our goal of winning numerous titles is realized.”
Three-quarters of MLB’s owners have yet to approve John Seidler’s appointment as control person. Although a vote has not yet been planned, it may happen as early as the owners’ meetings in February.
According to Sheel Seidler’s complaint, Robert and Matthew Seidler have even gone so far as to “inform Padres employees that Sheel is not an owner of the team, and that her presence and input are not welcome in interacting with free agents and current players.” She also claims that she and her three children are not allowed in the ownership suite during games.
Additionally, Sheel Seidler alleges that she was not allowed to attend charity functions intended to honour Peter Seidler’s memory.
According to the complaint, Peter Seidler allegedly wrote a handwritten memo outlining Sheel and the kids as the control person’s main priority in the case of his death.
About 25% of the Padres are owned by Sheel Seidler and the kids, meeting MLB’s minimum 15% ownership criterion to be considered a control person. Matthew and Robert Seidler, however, have “frozen Sheel out,” the complaint claims, and “deprived her of the benefits of being the largest beneficial owner of the baseball team, while themselves enjoying the benefits.”
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