Schwantz v. COTA Heading to Trial in February 2014

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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.

In the suit, Schwantz alleges that COTA, and its former President Steve Sexton, tortiously interfered with their contract with 3FourTexas (Schwantz’s company), as well as fraudulently misrepresented themselves.

COTA is counter-suing Schwantz, claiming that 3FourTexas misrepresented its promotional right to both to COTA and Dorna. In its suit, COTA is seeking attorney’s fees and costs for litigation.

The deciding factor in these claims for both sides will surely rest on the validity and performance of the contract between 3FourTexas, COTA, and Dorna.

Time will tell where the law resides between all the parties, and it doesn’t look like a resolution is in sight before the scheduled court date.

That being said, it seems the fiasco will once again overshadow the running of the Grand Prix of the Americas, which is scheduled for April 13th.

Source: American-Statesman; Photo: © 2013 Scott Jones / Scott Jones Photography – All Rights Reserved