DALLAS — Mark Cuban has withdrawn the Rule 202 petition tied to his arena dispute with Dallas Mavericks governor Patrick Dumont, and the Texas Business Court proceeding has been dismissed without prejudice, according to Brad Townsend of The Dallas Morning News.
Late Monday, Cuban’s attorneys filed a notice of nonsuit without prejudice. Judge Bill Whitehill dismissed the case and canceled the arbitration hearing scheduled for Friday. Whitehill ordered each side to pay its own legal fees.
Cuban’s legal team is led by John Zavitsanos of Ahmad, Zavitsanos & Mensing PLLC. Townsend reported that Monday’s filing made clear Cuban intends to remain informed about the Mavericks’ arena plans and will use legal means to do so if necessary.
“It defies belief that the Valley View Options are ‘purely exploratory,'” the filing said. “But straining to trade a public hearing for a shroud of secrecy, Arena Development Intermediate, LLC (‘ADI’) finally revealed what it had concealed: its corporate structure, ultimate ownership, and affiliate status.”
“ADI’s disclosure confirms it is working with [Dallas Sports Group], Patrick Dumont, and its other associates to violate Petitioners’ rights,” the filing continued. “With ADI’s ownership structure, affiliate status, and conduct now established, the Rule 202 Petition has served its purpose. Petitioners Radical Hoops, Ltd. and Radical Mavericks II, LLC therefore file this Notice of Nonsuit Without Prejudice as to their 202 Petition, which is effective immediately upon filing.”
“Petitioners will now proceed to vindicate their rights,” the filing added.
Zavitsanos did not comment to The News beyond confirming that Friday’s arbitration hearing had been canceled.
The Rule 202 Petition Mark Cuban Filed In July
Cuban filed the petition July 8 in Dallas County’s 134th District Court. The case moved to Texas Business Court on July 31.
The petition accused Dumont of “adversarial business practices” and sought a pre-suit deposition covering the Mavericks’ plans for a new arena and entertainment district. A Rule 202 petition is a request for pre-suit discovery rather than a lawsuit itself.
Cuban named Arena Development Intermediate as the respondent. Dallas Basketball Ltd., which operates the Mavericks, and Radical Arena Ltd., which operates American Airlines Center, were not named as respondents.
At the center of the dispute are the Mavericks’ option agreements involving approximately 104 acres at the former Valley View Mall site in Far North Dallas.
How The Dallas Mavericks Responded
On Aug. 6, the Mavericks answered with a 106-page response. The team’s legal team, led by James Bookhout of Katten Muchin Rosenman LLP, said no business opportunity had been presented to Cuban because the option to purchase the Valley View property remained “purely exploratory.”
The Mavericks created Arena Development Intermediate to carry out the option agreements with multiple landowners at the site.
On Monday, the Mavericks told The Dallas Morning News that they remain fully committed to Valley View while working through due diligence involving zoning, entitlements, and financing.
Dumont’s July 31 filing, reported by Ben Horney of Front Office Sports, moved the case from Dallas County district court to Texas Business Court. Dumont also argued that the dispute belonged in private arbitration under a provision in Cuban’s limited partnership agreement.
The filing said Arena Development Intermediate had not exercised its option on the Valley View property.
“Nevertheless, Mr. Cuban has demanded that he be involved in the option process,” the filing said. “Because of the nature of the Valley View Option, there is no current business opportunity to present to Mr. Cuban or petitioners. This fact has been communicated to Mr. Cuban.”
Dumont’s filing argued that Cuban named Arena Development Intermediate as the respondent rather than Dallas Basketball Ltd. or Radical Arena Ltd. to work around the arbitration provision. It also objected to the media coverage generated by Cuban’s original state court filing.
Whitehill granted the Mavericks’ motion to send the dispute to arbitration on Aug. 6 and scheduled Friday’s hearing before Cuban withdrew the Rule 202 petition.
Where The Dallas Mavericks’ Arena Plans Stand
The Mavericks announced June 1 that they had entered option agreements for the potential purchase of approximately 104 acres at the former Valley View Mall site near Preston Road and LBJ Freeway.
The property is roughly 11 miles north of American Airlines Center, where Dallas has played since 2001. Earlier this year, the Mavericks narrowed their arena search to Valley View and a site near Dallas City Hall downtown.
Dallas took another step in the development process in July by hiring Legends Global to represent the organization and lead premium sales for its future venue development.
Cuban sold his majority stake in the Mavericks to the Adelson and Dumont families in December 2023 in a transaction that valued the franchise at approximately $3.5 billion. He retained a 27% stake.
The Adelson and Dumont families purchased 69% of the franchise from Cuban and other minority shareholders. The purchase agreement also gives the new ownership group an option to acquire an additional portion of Cuban’s remaining stake.
The Mavericks’ lease at American Airlines Center runs through July 2031. The team has said construction of a new arena would take approximately 30 months, with a target opening by the end of 2031.
