What Monday's Court Ruling Means For TNA

As noted, there was a hearing earlier this week between Billy Corgan and TNA at the Chancery Court in Nashville, TN over the temporary injunction that Corgan has requested. The judge announced that a ruling will come this Monday.

PWInsider notes that if the ruling is in Corgan's favor, that will replace the current restraining order with a temporary injunction. With the injunction, the company will be unable to make major business decisions or sell the company without Corgan being involved in the decision. It was noted that a decision over whether Corgan takes over Dixie Carter's 92.5% voting rights could happen, although it appears that it won't because Corgan's attorney was being asked how they were applying Tennessee law to those claims.

If the judge declines the injunction, then it's back to business as usual before Corgan filed the lawsuit. TNA management can continue to make business decisions, and proceed to sell shares of the company. Corgan would likely be paid off by Anthem Sports & Entertainment Corporation, which recently offered to pay back Corgan's loan to TNA. However, Corgan expects a 50% corporate transaction fee, which would be $900,000 of his $1.8 million loan, which Anthem's attorney said they were unwilling to pay. Anthem would then take 85% control of the company, with Aroluxe having a 10% stake and Dixie Carter retaining 5%. Anthem would fund the company, and there would only be 3-4 television tapings per year.

Either way, Corgan's loan to TNA still has to be paid by next Tuesday, the day after the ruling. The lawsuit can also move forward regardless of Monday's ruling.

You can read arguments from Billy Corgan's counsel at this link, and TNA attorneys here.