Mark Cuban Sued By Ross Perot Jr.

by May 11, 2010

Perot doesn’t believe Cuban is the right guy to run the Mavericks, which the fellow billionaire no longer finds to be a financially viable entity. The Dallas Morning News reports: “Ross Perot Jr. raised the stakes Monday in his battle with fellow billionaire Mark Cuban over the ailing financial performance of the Dallas Mavericks. The Mavericks are ‘insolvent and/or in imminent danger of insolvency,’ according to a lawsuit filed Monday in state district court by a Perot-controlled company. Perot sold a majority stake in the Mavs to Cuban in 2000 but still owns 5 percent of the team. The suit focuses on Dallas Basketball Limited, which does business as the Dallas Mavericks. ‘DBL currently does not have revenues sufficient to pay its operating costs,’ the lawsuit said. ‘Without additional borrowings, DBL will not be able to fund its projected operating losses or to pay its obligations as they become due.’ The Mavericks’ debt now exceeds $200 million, the lawsuit said. Perot wants a court-appointed receiver to run the team. Cuban denied the team was insolvent and said Perot might be trying to pressure him to buy him out. Asked whether there was a chance he could lose control of the team, Cuban said, “No, none. Mavs fans have nothing to worry about,’ he said in an e-mail. ‘The Mavs operations and debt are guaranteed by me. There is no risk of insolvency. Everyone always has been and will be paid on time.”‘