Tag

Steve Sexton

Browsing

Last year’s Grand Prix of the Americas was marred by the dispute between Kevin Schwantz and the Circuit of the Americas, which saw the former GP Champion accusing the new MotoGP circuit of cutting him out of a deal with Dorna, the media rights holder to MotoGP.

The legal dispute has simmered since the MotoGP race, but it is unfortunately finding a new spotlight now, as a court date has been set. Scheduled February 10, 2014 as a ten-day trial, Schwantz and COTA will get to argue their claims before a jury of their peers in Austin, Texas.

News of a possible MotoGP round in Austin, Texas sent GP fans in the United Stats into a flurry, but the proposed third US round has been anything but a sure thing since its announcement, and continues to be so even after the signing of a 10-year contract. Trouble first started brewing as the Circuit of the America’s had trouble finalizing its deal with Formula 1, a deal that was the linchpin to the circuit’s financing. With the issues with F1 resolved, and the premier car racing series set to take the green flag at Austin later this year, MotoGP seemingly is having the same problem of coming to Austin.

Reported by the local Austin news site the Statesman, the issue is both complex and relatively simple. As with Formula 1, the rights to host MotoGP at the Austin track reside with Full Throttle, a promotion company owned in part by Tavo Hellmund, who in turn was a partner of the Circuit of the Americas (COTA) project. When last year Formula 1’s contract with Hellmund was found to be in breach, F1 Boss Bernie Eccelstone terminated his contract with Hellmund, which then sent the F1 deal at Austin into a tailspin, and caused COTA to deal directly with Formula 1 in securing the racing series.

With Hellmund also being the bond that tied MotoGP to Austin, the same issue has arisen with COTA and Dorna, the media rights holder to the MotoGP Championship. According to court documents, Hellmund alleges that COTA had an opportunity to buy the rights to host MotoGP for $18 million from Full Throttle/Hellmund when it bought the similar rights to Formula 1. Clearly unable to close that deal at the time, unless the Circuit of the Americas can secure those rights in the coming months, the Austin GP scheduled for 2013 will likely not be held.