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1999-2000 was a return to prominence, with the addition of free agent Derrick Coleman and third overall draft pick, point guard Baron Davis. The lineup of Wesley, Jones, Mason, Coleman and Campbell tore through much of the season, but on January 12, 2000 Bobby Phills was killed in an automobile accident. His number was retired on February 9. The team returned to the playoffs, where they succumbed to the Philadelphia 76ers. Jones led the league in steals, but in the offseason he and Mason were shipped to the Heat in exchange for Jamal Mashburn and P.J. Brown.
The season, however, was overshadowed by events off the court. The team's popularity had begun to sag due to fan discontent with Shinn's personnel moves; he had reportedly traded Mourning and several other stars out of an unwillingness to pay them market value. Michael Jordan, a North Carolina native, began negotiations to become part-owner of the team, but talks collapsed when Shinn refused to grant Jordan total control over the basketball side of the operation.
The event that generated the most headlines came when a woman claimed that Shinn had raped her in 1997. While he was able to fend off a civil suit, the trial severely tarnished his reputation in the city. The team's attendance dropped off even further and never recovered; the consensus was that while Charlotte was as basketball-crazy as ever, fans took out their anger at Shinn on the team.
In 2000-01 the Hornets, with the lineup of Davis, Wesley, Mashburn, Brown and Campbell made it back to the playoffs, where they upset the third-seeded Heat and made it to the conference semifinals for the third time in franchise history, before losing to the Milwaukee Bucks in seven games. They returned the following season by beating the Orlando Magic, but were upended by the New Jersey Nets. Many thought this was because of Jamal Mashburn missing the playoffs.