Dragon Sues Lotus

[Jameswnh]

Dragon Racing officially filed a lawsuit against Lotus for "contract fraud" this morning, and have already returned all Lotus equipment: http://auto-racing.speedtv.com/article/indycar-dragon-racing-sues-lotus-signing-with-chevy/

The non-stop drama and intrigue surrounding the IZOD IndyCar Series took an interesting turn as SPEED.com has learned Dragon Racing owner Jay Penske has filed a lawsuit against his engine supplier in California, accusing Lotus Cars Limited T/A Lotus Motorsport of "contractual fraud."

With the start of practice for the Indy 500 set to begin on Saturday, Dragon Racing will most likely compete at Indy--and for the rest of the season--utilizing Chevrolet power.

That would leave just one remaining Lotus, HVM and Simona de Silvestro. Bourdais in a Chevy can only be a positive, but there seems to be some confusion as to what's actually going to happen with that.

The guy you really feel for in this whole disaster is John Judd. His ability as an engine builder is unquestioned, yet here he is in the middle of this thing.

 

[wilson89]

The Lotus cars have been about 7 mph off on all the road courses this year, I cant imagine how bad it would be at Indy for them. I think all the Lotus teams knew going into the season it would be an uphill battle but they had no idea how far off Lotus really was. I feel bad that Simona who is a very good road course driver is stuck in the Lotus as their factory driver it appears, but this is why the Indy 500 this year is stuck at 33 entries. The minute a Honda or Chevy engine is made, a full time Lotus team ditchs Lotus to get the equipment, leaving no equipment except for the inferior Lotus's for those looking to make a one off at Indy, although I continue hearing Jean Alesi I believe it is will agree to run a Lotus if it means he can make an attempt for the 500.

 

[Jameswnh]

The Lotus cars have been about 7 mph off on all the road courses this year, I cant imagine how bad it would be at Indy for them. I think all the Lotus teams knew going into the season it would be an uphill battle but they had no idea how far off Lotus really was.

It was common knowledge that legal issues at Lotus corporate got them behind the 8 ball, but this goes so far beyond some ill prepared engines. Bryan Herta and Dreyer-Reinbold left because of alleged "breach of contract." Dragon is now taking them to court for "contractual fraud." Jenna Fryer just put out some details of Dragon's grievances: http://www.google.com/hostednews/ap...Q2apOQ?docId=938015d18df341f78db94798fe3ec34a

"Put simply, Dragon has had enough of Lotus' deceit and wrongdoing," the lawsuit says. "Dragon has put an end to its ill-fated relationship with Lotus and now seeks recompense for the damages inflicted upon it."

The suit claims the problems began shortly after Dragon and Lotus reached an agreement on Jan. 8. Dragon claims Lotus was supposed to provide two chassis to the team free of charge, but couldn't afford to purchase them, forcing Penske to spend about $800,000 to get the cars.

Then, despite already being indebted to Dragon, Lotus refused to deliver engines unless Dragon paid Lotus "substantial sums of money."

"Lotus even admitted it was indebted to Dragon. Lotus's demands for payment were outrageous in this context," the suit says. "Ultimately, Dragon was forced to relent to Lotus' outrageous and improper demands."

The suit claims Dragon paid Lotus $200,000 in March toward the engine lease, and paid $300,000 to a third party vendor at Lotus' request. Lotus continued to insist on further payments, but Penske refused.

Dragon also accused Lotus of defamation with "knowingly false statements to the effect that Dragon was not honoring financial and contractual commitments to Lotus."