Mark Cuban has officially filed a legal petition against Dallas Mavericks Governor Patrick Dumont, citing claims of “adversarial business practices” concerning the potential relocation of the NBA team within the Dallas-Fort Worth Metroplex area.
In late 2023, Cuban transitioned ownership of the team to Dr. Miriam Adelson while retaining a 27% stake. As the largest shareholder of Las Vegas Sands (NYSE: LVS), Adelson appointed Dumont—her son-in-law—as the chief executive officer of the casino business and governor of the Mavericks franchise. Cuban’s court petition against Dumont states that he is “contractually entitled to partake” in discussions concerning the financial implications of the Mavericks’ potential relocation to a 104-acre site known as Valley View.
This petition does not constitute a formal lawsuit, implying that, at present, Cuban is not seeking any financial compensation from Dumont or the Mavericks. Nonetheless, he is seeking transparency regarding the proposal to possibly relocate the team.
“(Cuban) is requesting details regarding the funding for a new Dallas Mavericks arena at Valley View, as well as the investigation and selection of potential sites for the new arena, among various other concerns,” reads the court filing. “The pursuit of business opportunities associated with the Dallas Mavericks and their upcoming arena might negatively impact [Cuban’s] existing Texas contracts and related rights.”
Currently, the Mavericks host their home games at the American Airlines Center located in downtown Dallas.
‘Handshake Agreement’ Gone Awry
In his legal documents, Cuban hints at another possible point of contention between him and Dumont. The “Shark Tank” investor claims that during the sale of his majority stake to Adelson, there was a “handshake agreement” which granted him oversight of basketball operations.
“They (Adelson, Dumont) aren’t basketball experts. I’m not a real estate professional. That’s the reason I decided to sell the team,” Cuban remarked in 2023.
However, Dumont assigned General Manager Nico Harrison with full basketball operational authority, leading to the controversial 2024 trade of Luka Doncic to the Los Angeles Lakers. Cuban asserted that he would not have greenlit that trade and that Dumont and Harrison failed to consult with him. Harrison is no longer part of the Mavericks organization.
The validity of the Cuban/Dumont handshake arrangement is for the court to assess, but legal history shows that such informal agreements are challenging to validate as they can often escalate into “he said, she said” conflicts.
Analyzing Mavericks Real Estate Ventures
Before Adelson gained majority control of the Mavericks, an LLC associated with Las Vegas Sands acquired 108 acres near the site of Texas Stadium, which previously hosted the Dallas Cowboys, with aspirations to develop it into an entertainment venue anchored by a new Mavericks arena and a casino hotel.
Recently, the gaming giant pivoted strategies, purchasing 104 acres at the Valley View location. Cuban claimed he was excluded from this transaction, informing the court that he discovered it through a Sands release to the Securities and Exchange Commission (SEC).
Although Sands has invested millions in political campaigns, casino gaming has yet to be legalized in Texas; nevertheless, Cuban has expressed his intent to collaborate with Sands to develop the envisioned entertainment district.