Phoenix Suns, owner Mat Ishbia sued by minority owners over access to internal records

The only two remaining holdovers from the Phoenix Suns’ previous ownership group under Robert Sarver are suing the team while alleging that current owner Mat Ishbia has refused access to internal records, according to a copy of the lawsuit that has been obtained by ESPN. 

The lawsuit, which was filed on August 21, were filed by attorneys who represent companies that are associated with Suns minority owners Andy Kohlberg and Scott Seldin. Kohlberg and Seldin are the only minority owners from Sarver’s group that did not take sell their share of the Suns when it was purchased by Ishbia in 2023. 

“Our clients sued to obtain records to which they are entitled as minority owners of the Suns,” Michael Carlinsky and Michael Barlow of Quinn Emanuel, who are representing the Suns’ minority owners, said in a statement Wednesday. “They are concerned by the manager’s approach towards minority owners, and want more information about certain spending and capital raises in which the manager has engaged. Transparency with minority owners is not optional, and our clients think it is critical to the success of the Suns.”

In the complaint, the attorneys state that Kohlberg began negotiating a buyout with an advisor to Ishbia in September of 2024. The talks continued into 2025 with a request for a final response from Ishbia by June 1. Attorneys say Ishbia at that point held a capital call the next day (June 2) to “to exert pressure on and dilute” the ownership shares held by the team’s minority owners.

The attorneys also state that Ishbia “may have entered into undisclosed side deals with other members of the [Suns], including side deals, relating to the capital call.” They claim that they have not been able to receive information about the Suns’ expenditures and also raised issue with the funding of the Mercury’s $100 million practice facility that the team unveiled in 2024. 

They attorneys say that Ishbia refused to provide any information about how the facility was funded. He did say that the team “complied with its duties under the LLC Agreement.”

Attorneys representing the Suns and Ishbia sent a letter to the attorneys representing Kohlberg and Seldin that was also obtained by ESPN. In said letter, the Suns state that Kohlberg and Seldin demanded that the Suns buy their ownership share for $825 million, a number that would place the Suns’ value at about $6 billion. That would be a 60% increase from the value when Ishbia bought his controlling interest back in 2023. The Suns said that they have no obligation to buy them out.

“Make no mistake, [Ishbia] does not intend to reduce or slow its investments in the company and its teams,” the letter says. “To the contrary, [Ishbia] will continue doing whatever it takes to position the Suns and Mercury to win championships, ensure a positive team culture, create a lasting impact on the greater Phoenix community, and improve the fan experience. … If your clients do not share these same priorities, then perhaps they should try to sell consistent with the terms of the parties’ agreement.” 

This lawsuit marks the sixth one against the Suns organization since November 2024. The previous five, which were made by current or former employees, include allegations of discrimination, retaliation, harassment and wrongful termination.