MotoGP » Dorna statement on Schwantz/COTA lawsuit

'...3four Texas MGP LLC was not able to provide such evidence to Dorna within the term granted for such purposes, and therefore Dorna had no other alternative than to terminate the February 11th 2011 Promoters Contract'

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SAM - Unregistered

September 12, 2012 12:09 PM

Dorna's statement suggests that 'no agreement had ever been entered into between 3four Texas MGP LLC and COTA'.

When the new company took it over "COTA" Tavo Hellmund KS's friend, was kinda kicked to the curb if you will and this also kicked Kevin or as his new stage name "3four Texas MGP LLC to the same gutter.

KS give up, go back to your teaching of old people at your riding school and leave the races to the heavy hitters.

Who Cares - Unregistered

September 12, 2012 12:56 PM

Most probably the circuit owner was very happy to have Kevin Schwantz promoting the project, back in 2011, and KS worked joyfully since then, without even asking for a proper contract. I'm pretty sure that, if some lawyer came along and said "come on Kevin, you do need a contract, ask for it!", he would have replied "nah I trust these people, they are happy with my work they would not do that to me anyway!"

Well obviously they did, and now that they do not need KS anymore, they kick him out of the project.

One can only be surprised that in June 2012, all of a sudden, 16 months after the Dorna-KS deal was inked, Dorna is asking KS to provide a contract between him and COTA... One can only think Dorna received a nice letter from COTA, according to which KS was not entitled to do anything on behalf of COTA or in connection with the Texas GP...

Carmelo probably tried to lead KS and COTA into an agreement, but failed, and then they had no option than finding a way out of KS's contract wi

Who Cares - Unregistered

September 12, 2012 1:00 PM

ctnd... with them, as KS could no longer perform it. Their request to KS is only a way to get evidence of KS' impossibility to provide the services he agreed to provide to Dorna.

In fairness it sucks big time, but legally, I'm not sure KS even has a case against anyone.

Yet another sportsman being defrauded while trying to do business. Very sad

brad - Unregistered

September 12, 2012 1:13 PM

When these kind of deals are being put together, KS becomes just another man to pay. If he can be cut out of the equation, he doesn't have to be paid. Yes he may have done some vital leg work so this race comes to fruition, but without a contract.
Like others have said, it sucks, but that's life. COTA prob saw a way to increase their percentage and they took it.

jake - Unregistered

September 12, 2012 2:15 PM

thing is this you can't just look at COTA as crooks without looking at DORNA. They have ridden the back of KS' standing as former Champion from Texas and overall ambassador of the sport for the US. For them to now play this hand after the big presentation at the original event announcement, through all the first few waves of legal mess with Hallmut & the F1 event, just goes to show how Dorna does business. Yes KS should have known better to not have documents signed and in hand from either COTA for promotion rights for the track, or with Dorna to promotional rights to any event in Texas. But he didn't. It's a very pathetic situation. Dorna had the chance to stand behind and back one of it's own and basically kicked him aside. Business is business I guess.

Bluey - Unregistered

September 12, 2012 3:07 PM

i smaell a rat.

i suppose COTA played the waiting game, not cooperating with Kevin until the time limit expired. they cut him out on purpose, which is of course business, but it's also a shame.

seems Kevin made the mistake of trusting men in suits.

Lawyer - Unregistered

September 12, 2012 3:07 PM

I, too, would be surprised if this went to court. However, do not belittle an out of court settlement. It would not be entirely unreasonable. It does seem as though there is no written agreement in place, however there are allowances in contractual law for this. If both parties are acting as if there is a contract is in place, then a contract - of sorts - is in place. Also, verbal agreements are very powerful, particularly in the US, but also in Europe. The law tries to support people from being lied to and duped, and therefore Mr Schwantz may have a valid claim. Particularly since COTA would struggle to convince a judge that they did not benefit from his presence in the project. He has 'skin in the game' and has received nothing back. They will settle out of court (doesn't have to be money, could be some form of involvement in the project or even employment). Final note: to the person who suggested that KS is 'probably going for the settlement'... that's a horrible stateme

Lawyer - Unregistered

September 12, 2012 3:10 PM

...statement to make. If he has been wronged and is owed some money, then he is owed some money. But to suggest that he was angling for a settlement from the start is simply rude (and likely incorrect). We have to believe that KS was motivated by the return of MotoGP to Texas, and if he makes money by doing so, then all power to him.

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