He did not like Titos attitude so he released him.
This all came to head at UFC 53 i think when after Tito finished his match Dana white sent Chuck Liddel and Chuck Norris to beat up Tito while screaming "Kick his ass" in an Vince Macmahon type voice. After the beating he had Liddel and Norris hold Tito up while Dana screamed "You're fired!".
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