The Legal Battle Between NASCAR and the Teams Reveals Tensions and Explosive Language
The tense legal dispute between NASCAR and two of its teams, who filed a federal antitrust lawsuit, has escalated to a new level. During a hearing filled with controversy, emails and text messages with explicit language from key figures, including the legendary Michael Jordan, co-owner of the 23XI Racing team, were exposed. In an exchange, Jordan expressed his discontent with Joe Gibbs Racing and other teams that signed the new NASCAR agreements. “The teams will regret not joining us,” Jordan wrote in a message to Curtis Polk, his manager and partner at 23XI Racing, along with Denny Hamlin. 23XI Racing and Front Row Motorsports were the only teams that refused to sign extensions to the franchise agreements, known as “charters.” These teams accuse NASCAR of monopolistic behavior, which could lead them to bankruptcy if their charters are sold. The situation worsened with the disclosure of documents that revealed explosive details. NASCAR, owned by the France family, was exposed to internal messages with strong language. Steve Lauletta, president of 23XI, went so far as to suggest that “the death of Jim” (referring to Jim France, current NASCAR president) could be the solution to obtain better conditions in the agreements. Hamlin, for his part, expressed his deep “contempt” for the France family. In another conversation, Jordan and Polk discussed the price of charters. Jordan stated that he would not sell, to which Polk replied: “This is just a hobby!”. Jordan responded: “I can only play golf for a while”. In a second exchange, they discussed the cost of hiring a pilot, to which Jordan replied: “I lost it in a casino. Let’s do it”. NASCAR also had its own series of exchanges with explicit language between senior executives. Commissioner Steve Phelps lamented the lack of progress in the negotiations and argued that an initial proposal of charters offered “zero wins for the teams.” Steve O’Donnell, NASCAR president, also criticized a preliminary version which, in his opinion, was reminiscent of 1996 with an attitude of “dictatorship.” 23XI and Front Row’s lawyer, Jeffrey Kessler, argued that these exchanges, along with NASCAR’s plans to avoid competition, demonstrate their monopoly in the auto racing market. NASCAR argues that 23XI and Front Row forfeited their rights to six charters by refusing to sign the extensions. The teams began the season as charter teams, which guarantees their entry into the race and a higher percentage of winnings. However, that order has been revoked and they now compete as “open” teams. Judge Kenneth Bell warned that NASCAR’s charter system is at stake, depending on the outcome of the case. Discussions focused on the teams’ request to regain their charter status before the trial scheduled for December 1st. NASCAR plans to sell the charters immediately. Judge Bell asked why not sell one of the four open spots and solve the problem after the case resolution. NASCAR insists that it cannot be forced to do business with teams it does not want. The judge will issue their ruling next week, after the first playoff race of the season. Tyler Reddick and Bubba Wallace, from 23XI, and Hamlin, from JGR, are in the playoffs. Outside of court, Jordan stated he was open to a settlement, but willing to go to trial. Kessler warned that if 23XI and Front Row don’t recover their charters, they could go bankrupt in 2026.Jordan added that “I feel like we made a good statement today about that and I hope to keep fighting. If I have to fight until the end, for the good of the sport, I will do it”.“I’ve been a fan of the sport for a long time. I’ve always said that I want to fight for the benefit of the sport. Although they tried to point out that we’ve made some money, we had a successful business. That’s not the point. The point is that the sport needs to continuously change for both the fans and the teams.”
Michael Jordan