Rahal Letterman Statement On Sharp

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MIAMI - Because Scott Sharp violated his obligation to race exclusively for Rahal Letterman Racing in 2008, Rahal Letterman Racing was vindicated today in its breach-of-contract allegations against Scott Sharp Sports, LLC pursuant to an order issued by United States District Court Judge Hon. Adalberto Jordan.

The 24-page ruling, which denied a preliminary injunction against Sharp that would have forced him to sit out the 2008 season, states that Sharp's claims against Rahal Letterman Racing concerning fraud, failure to provide testing, failure to perform research and development and the replacement of team members had no merit and that it was Sharp that will be found to have breached the contract.

Specifically, in the final conclusion of the seven-part ruling, Judge Jordan states: 'It seems to me that (Sharp) has knowingly breached one agreement in order to enter another. He may continue to race for Highcroft in the 2008 season, but this case shall go on, and he may pay for his choices in the end, quite literally, if a jury views the evidence as I do.' In addition, Judge Jordan stated that 'according to the evidence presented so far, Rahal Letterman (Racing) has not committed fraud or breach of contract. If anything, it is the Sharp defendants who have breached and abandoned their contractual commitments'.

Judge Jordan also analyzed the evidence as follows: 'The record demonstrates that Rahal Letterman (Racing) did everything basically right and worked with the Sharp defendants at all times in good faith...Therefore the Sharp defendants have no excuse for violating the restrictive covenant in the Driver Agreement. For these reasons, I conclude that Rahal Letterman (Racing) will likely succeed on the merits of its breach of contract claim against the Sharp defendants.'

"We are very encouraged with Judge Jordan's rulings and hope that the remainder of the legal proceedings go as indicated in today's statement," said team co-owner Bobby Rahal. "The fact that Rahal Letterman Racing was found to be in accordance with all of its contracts and are forthright in all its dealings is a reflection on the people at our shop and on our team that worked so hard to provide a competitive car and a competitive atmosphere during last season."

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