Judge Baum unveils 3rd option for Coyotes

It turns out there's a surprise third option available to the judge charged with deciding the fate of the Phoenix Coyotes -- and it probably won't be to the liking of either Gary Bettman or Jim Balsillie.

Judge Redfield T. Baum raised the possibility that he might not award the team to either the NHL or Balsillie's company PSE as a two-day auction for the bankrupt franchise began Thursday.

The revelation came early in the proceedings and sent a ripple through the courtroom. Jordan Kroop, a lawyer for former Coyotes majority owner Jerry Moyes, was speaking about the potential bids when he was interrupted by the judge.

"There is a third opportunity when we're done here -- no sale," said Baum.

"Theoretically," Kroop responded.

"I think it's more than theoretical," said Baum. "You all ought to keep that in mind."

The exchange set an uncertain tone to an auction process that most observers believed would end with a new owner for the money-losing franchise. Evidently, that's no longer a certainty.

"I'm not going to predict (what might happen)," said Bettman. "We all heard him say it, we'll all have to see what happens."

The full-day hearing produced one final surprise just as it was ending, when the NHL's lawyers informed the judge that they don't wish to cross-examine Balsillie on Friday morning. He and the commissioner had each been scheduled to take the stand.

There was no reason given for the sudden change in plans.

"You'll have to draw your own conclusions," offered Bettman.