NASCAR has requested a judicial conciliation conference before a federal court. The goal is for an independent judge to mediate the antitrust lawsuit filed by 23XI Racing, owned by Michael Jordan, and Front Row Motorsports. In response, the teams presented a document on Monday night, expressing their desire to continue working with mediator Jeffrey Mishkin. Mishkin, former executive vice president and general counsel of the NBA, has been negotiating between both parties during this year.
The teams argued that Mishkin possesses “significant experience in complex antitrust disputes related to sports” and has acted as an arbitrator or mediator for various organizations, including the Court of Arbitration for Sport, the America’s Cup, FIFA, and the NFL. They also maintain that “starting over” with a new mediator is “less likely, not more likely, to lead to a resolution”. These motions come as NASCAR seeks summary judgment to dismiss the case before the trial scheduled for December 1. A hearing on that motion is scheduled for October 21. The central theme is the protection of the franchise system, a key element of NASCAR’s business model and the focus of the legal dispute. This system guarantees owners positions in the competition and an annual income base. According to NASCAR, it has generated more than $1.5 billion in value for its teams since 2016. A year ago, 13 of the 15 teams re-signed when they believed that more than two years of negotiations would not lead to a better deal. 23XI, co-owned by Jordan and Denny Hamlin, three-time winner of the Daytona 500, and Front Row Motorsports, owned by businessman Bob Jenkins, chose to go to court. For months, the other 13 teams have privately complained that the lawsuit is creating uncertainty about NASCAR’s future. Mishkin has not made progress toward an agreement, and NASCAR now wants a federal judge, other than U.S. District Judge Kenneth Bell, who is presiding over the case, to hear both sides and advise on a resolution. Last week, most of NASCAR’s top teams filed statements calling for an agreement and the protection of the franchise system, which NASCAR highlighted in its filing Monday night with the U.S. District Court for the Western District of North Carolina.“Mr. Mishkin has invested a great deal of time in learning about this case and meeting with the parties,” 23XI and Front Row stated in their presentation. “The plaintiffs have requested that NASCAR continue to negotiate with them through Mr. Mishkin or make a settlement offer directly to the plaintiffs’ attorney, but NASCAR has not responded to those requests and, instead, filed this motion.
23XI and Front Row Motorsports
Despite the willingness of both parties to dialogue, no progress has been made. Through a court-ordered conciliation conference, NASCAR hopes a judge can direct the talks and offer insight into how a jury might interpret NASCAR’s complex antitrust case. The court must approve NASCAR’s request. All parties have expressed their willingness to reach an agreement, including Jordan, who also added after a hearing in August that he was willing to go to trial if necessary.“The willingness of the parties to resolve this matter, along with the interests of others in the sport and the Court in seeing this case resolved, suggest that a judicial settlement conference would be a meaningful way to facilitate a settlement,” NASCAR wrote.
NASCAR
“I’m looking forward to going all the way. If I have to fight to the end, for the good of the sport, I will,” he declared outside the federal court. “We’ve always been open to a settlement. We always have been. We’ve never ruled out that possibility.”
Michael Jordan
