By Prime Law Hub 
The Chicago Sky is in the spotlight for reasons beyond the court, as a 2026 lawsuit filed by minority investor Steven Rogers accuses principal owner Michael Alter of self-dealing and breaching fiduciary duty amid the WNBA’s explosive growth in franchise values. The complaint, lodged in Cook County Circuit Court in late January 2026, centers on claims that Alter manipulated transactions to boost his own stake while diluting minority investors’ shares, even as the team’s value surged from $10 million at purchase in 2006 to $240 million in recent estimates.
This dispute reflects broader tensions in women’s professional sports, where rapid valuation increases create opportunities but also conflicts over equity distribution. While Alter’s counsel calls the suit meritless and expects quick resolution, the case raises questions about governance in a league where expansion fees now reach $250 million.
Key points:
- Allegations focus on 2024 transactions where Alter allegedly seized significant value for himself, breaching duties to minority partners.
- Valuation growth is central: The Sky’s worth has risen sharply during the WNBA’s boom, yet Rogers claims his stake declined in nominal terms.
- No immediate impact on operations is expected, with ongoing projects like a new practice facility continuing.
- The lawsuit is in early stages, with outcomes potentially ranging from settlement to prolonged litigation.
The Chicago Sky in Context
The team, a 2006 expansion franchise, won its first WNBA title in 2021 and plays at Wintrust Arena. Recent investments include a Bedford Park practice facility and hosting the 2026 All-Star Game, signaling commitment despite past player critiques of underinvestment.
The WNBA has transformed from a niche league to a high-growth enterprise, fueled by massive media deals, rising attendance, and star power. Franchise values have surged, with expansion teams now commanding $250 million entry fees. This “boom” era has created wealth for owners but also friction when minority stakeholders feel shortchanged.
The Chicago Sky embodies this shift. Michael Alter, the principal owner since 2006, acquired the team for the league’s standard $10 million expansion fee. Early investors, including Steven Rogers—an Englewood native and entrepreneur—joined at the ground level. The team achieved on-court success, culminating in a 2021 championship that boosted its profile and market appeal.
By 2023, the Sky attracted new minority investors, including a group featuring Cubs owner Laura Ricketts and Dwyane Wade, at a roughly $85 million valuation. Forbes estimated the franchise at $240 million in late 2025, reflecting league-wide momentum from sponsorships, viewership, and cultural relevance.
This rapid appreciation is the backdrop for the lawsuit. Rogers alleges Alter used his control over finances and operations to orchestrate transactions—particularly in 2024—that enriched himself and his family by millions (specific figures redacted in public filings) while diluting minority stakes. The complaint claims minority shares “dropped in nominal value” despite the team’s rising worth, accusing Alter of misrepresenting and misallocating value for personal gain.
Rogers further criticizes governance, noting the absence of a board of governors or independent advisers, allowing Alter near-total control. The suit describes the operation as “a mess” with “blatant disregard” for the operating agreement and basic business competence.
Core Legal Concepts Explained
Fiduciary duty requires those in control (like majority owners) to act in the best interests of all partners, avoiding personal enrichment at others’ expense. Self-dealing occurs when a manager prioritizes their own benefits, such as through unfair transactions or dilution of others’ equity.
In this case, Rogers argues Alter breached these duties by seizing valuation gains post-championship without equitable distribution. Such claims are common in closely held businesses when growth exposes imbalances in ownership agreements.
WNBA Franchise Valuations
The league’s economic surge is evident in recent estimates. Here’s a look at select 2025 valuations (Forbes data):
| Rank | Team | Valuation | Notes |
|---|---|---|---|
| 1 | New York Liberty | $400M | Top women’s sports team |
| 2 | Indiana Fever | $370M | Driven by star power |
| 3 | Seattle Storm | $330M | Strong market |
| 4 | Las Vegas Aces | $310M | Championship pedigree |
| 5 | Phoenix Mercury | $300M | Established franchise |
| – | Chicago Sky | $240M | Mid-tier amid growth |
These figures highlight the “valuation gap” at issue: Early investors bought low, but reassessments or transactions may not always reflect proportional gains.
Alter’s Response and Ongoing Operations
Alter’s attorney, Robert A. Chapman, issued a statement calling the lawsuit “completely meritless” and predicting swift resolution through legal channels. He emphasized no impact on team operations.
The Sky continues forward momentum. A new practice facility in Bedford Park is under construction, with events marking progress despite delays. The organization also celebrated hosting the 2026 All-Star Game, partnering on cybersecurity and training staff upgrades.
Broader Stakes for Players and Investors
The suit echoes long-standing critiques of Sky management, including player trade requests from stars like Elena Delle Donne and Kahleah Copper citing underinvestment. In a league shifting toward billionaire-backed teams (e.g., Las Vegas, New York), smaller groups face pressure to match resources in facilities, coaching, and analytics.
For WNBA fans, sports business enthusiasts, and investors in women’s sports, this case underscores risks and rewards in a maturing market. It may prompt scrutiny of ownership transparency as valuations climb.
What Happens Next?
The matter remains in early stages, with an initial hearing shortly after filing and a key date in March 2026. Possible paths include settlement, mediation, or trial. If proven, remedies could involve compensation, equity adjustments, or governance changes. Even if dismissed, it highlights fiduciary responsibilities in high-growth sports assets.
The Chicago Sky’s future depends on navigating this dispute while capitalizing on league momentum. For now, the organization projects stability, but the courtroom battle serves as a reminder: In professional sports, off-court issues can be as consequential as on-court performance.
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