Schwantz Releases Another Statement about COTA & Dorna

09/14/2012 @ 12:34 pm, by David Emmett14 COMMENTS

Schwantz Releases Another Statement about COTA & Dorna Circuit of the Americas construction site 635x442

Kevin Schwantz has issued another statement in response to the press releases put out by both the Circuit of the Americas and Dorna, concerning his legal proceedings over the case. In the press release, Schwantz lays the blame for the situation at the feet of the Circuit of the Americas, and claims they attempted to obtain the contract to organize the MotoGP race in Texas by forcing him out of the deal with Dorna. The full statement issued by Kevin Schwantz is after the jump.

Further Statement from Kevin Schwantz

“In response to the legal action I filed last week, Circuit of the Americas (COTA) has issued a statement claiming I never had an agreement to conduct a MotoGP race at its facility.

COTA’s claim is false. In April 2011, COTA issued a press release with the headline “Texas Lands MotoGP for 2013; 10-year Deal Signed for Austin’s Circuit of the Americas.” This press release names my company, 3fourTexasMGP, as a party to the MotoGP agreement. It also claims COTA’s track “is the U.S. home to both the Formula 1 and MotoGP Grand Prix World Championships.”

COTA presumably used this agreement with me to entice ticket sales and to persuade elected officials to commit $250 million from the State of Texas’s Major Events Trust Fund. Once it had gotten all the mileage it could out of the agreement, as alleged in my lawsuit, COTA cut me out of the deal and attempted to get a cheaper contract with Dorna.

Following COTA’s lead, Dorna has now publicly claimed that it has terminated my MotoGP contract. I’m not surprised that Dorna is now acting as a mouthpiece for COTA. As stated in my lawsuit, COTA has misled Dorna and encouraged it to terminate my contract. This unlawful conduct resulted in an announcement in June that they were finalizing details on the Texas race.

I am tremendously disappointed in my friends at Dorna, who appear to be forced into their current position by COTA. Hopefully, COTA won’t do to them what it did to me.

To cut through all the spin, here is what has happened. I had an agreement to conduct MotoGP races at COTA. COTA used the agreement to sell tickets and raise money. When the time came for COTA to honor its end of the bargain, it refused. COTA thought it could get a better deal by going around me and directly to Dorna. And that is exactly what it did.”

- – Kevin Schwantz, President of 3fourTexasMGP, LLC

Photo: Circuit of the Americas

This article was originally published on MotoMatters, and is republished here on Asphalt & Rubber with permission by the author.

Comment:

  1. MR. X says:

    Hmmm, who do you bet against, the likely-contract-holding COTA or a tenacious world champion?

    And the winner is…the fucking lawyers!

  2. Jake F. says:

    All that may be true, but a press release does not a contract make.

  3. Calisdad says:

    Does anybody doubt Kevin had a contract? Anybody? He’s just been hanging around working on the track for years because it’s his hobby?

    Good luck with jury selection COTA. How many lawsuits will you be involved in before the first race? I’ve lost count.

  4. Dr. Ken says:

    COTA and Dorna are about to have their collective asses handed to them. Mr Schwantz will not go away any time soon.

  5. Lawyer says:

    It’s all about risk analysis. They make more money breaking the law and paying off Schwantz than following the law. This kind of thing happens all the time. Business as usual.

  6. smiler says:

    gutter morality. Business as usual USA style unfortunately.

  7. steve D says:

    although binding contracts can be verbal, it’s hard to imagine one of this magnitude not being written. why hasn’t schwantz shown a signed written contract yet?

  8. Westward says:

    Don’t begrudge the lawyers in this matter, COTA created the issue. If they were a standup organization, they would have simply honoured the arrangement with Schwantz. There is far more advantage in the long run to having Schwantz involved than not. Someone COTA does not understand racing culture methinks.

    Schwantz has a reasonably good case in his favour. The press releases are a valid article of evidence to prove intent. COTA certainly did not deny them when they went into publication.

    I also doubt Schwantz is going to lay out all his cards in the media before the trial…

    Perfect example of a business minded citizen placing faith in an American corporation. To think Americans have to rely on corporations for pensions and healthcare too, good luck with that U.S.A.

  9. tonestar says:

    what a fuckin mess! i’m so disguested about all this, and everyone of your comments are right on point gang. and the austin gp is further away from ever.

    here’s a thought- lets say schwantz loses the case. anyone else think spies and edwards should boycott the race in a show of solidarity?! that’s it if ever actually happens. go kev go! we’re behind you all the way…

  10. jack says:

    Spies and Edwards would never boycott the race because their loyalties and paychecks belong to their teams. However I would be interested in the ticket prices for the race. For those who do not know, ticket prices for the Formula one are $400 to $800 with parking at $200 for the weekend. Formula one does command premium dollars, but I wonder the price and whether it’s worth the effort to travel to Texas seeing how boring MotoGP has become.

  11. tonestar says:

    youre so right jack- joking/wishful thinking on my part! as an aside, even though i love my homestate dearly, i’ve lived in ca for many years now. we were thinking of going to laguna last year, in the end decided not to. watched the race on tv and i must say, even though monterey is lovely, i woulda been pissed at having to pay for that show!

  12. Lee says:

    It’s disappointing to see bad news being tied up to have a motorcycle race held. Did F1 experience the same crap?

  13. Just get the track completed and race WSBK there. That’d make me happy.

  14. Steve Stowell-Virtue says:

    It’s obvious COTA decided to screw Kevin. I’m followed and liked Kevin for way to long to put money in some asshole’s pocket that screwed him.

    I was planning to go to the GP in April. The track is only a few miles from my childhood home and most of my family. I won’t be going based now.

    Vote with your wallet. Don’t give your money to backstabbing assholes.