NASCAR Lawsuit: Settlement Urged by Judge
- CHARLOTTE,N.C.— A federal judge is encouraging NASCAR and two of its racing teams, including 23XI Racing co-owned by Michael Jordan and Denny Hamlin, to reach a settlement in...
- District Judge Kenneth Bell, during a hearing Tuesday, questioned both sides about their objectives in the case, which has cast a shadow over NASCAR for months.
- 23XI and Front Row are the only teams that declined to sign NASCAR's offer last September regarding the charter agreement.
A federal judge implores NASCAR, 23XI Racing, and Front Row Motorsports to settle their high-stakes antitrust dispute, centered on charter agreements and the role of team representatives. The legal battle, fueled by accusations of anti-competitive behavior and the role of Curtis Polk, is costing both sides. Judge Bell expresses concerns over mounting expenses, urging a resolution before December’s trial. The charter dispute jeopardizes the status of 23XI and Front Row, impacting their ability to compete. News Directory 3 provides the latest on this evolving situation. Teams are open to settlement talks, but NASCAR shows no willingness to budge. Delve into the implications of this legal standoff and discover what’s next for the world of racing.
Judge Urges NASCAR,Jordan Team to Settle Charter Role Dispute
updated June 18,2025
CHARLOTTE,N.C.— A federal judge is encouraging NASCAR and two of its racing teams, including 23XI Racing co-owned by Michael Jordan and Denny Hamlin, to reach a settlement in their escalating legal battle. The dispute, also involving Front Row Motorsports owned by Bob Jenkins, centers on a new charter agreement and accusations of antitrust violations.
U.S. District Judge Kenneth Bell, during a hearing Tuesday, questioned both sides about their objectives in the case, which has cast a shadow over NASCAR for months. “It’s hard to picture a winner if this goes to the mat,” Bell said, expressing concern over the mounting costs.
23XI and Front Row are the only teams that declined to sign NASCAR’s offer last September regarding the charter agreement. These charters guarantee entry into Cup Series races and provide a steady income.Thirteen other teams signed, some claiming they had little choice.
NASCAR’s countersuit accuses Curtis Polk, Jordan’s business manager, of orchestrating anticompetitive conduct during negotiations.The racing organization alleges Polk attempted to form a “cartel” among the 15 teams, threatening boycotts and refusing individual negotiations. One of NASCAR’s attorneys cited a Benjamin Franklin quote allegedly sent by Polk: “We must all hang together, or most assuredly we shall all hang separately.”
Jeffrey Kessler, representing the teams, criticized the revelation of this data in open court, arguing it was privileged. He maintained that NASCAR’s claims do not prove any illegal actions by Polk or the Race Team Alliance (RTA) during the charter negotiation process. “NASCAR knows it has no defense to the monopolization case,” Kessler said, adding that the attacks on Polk were “false, unfounded.”
NASCAR attorneys contend Polk pressured the RTA teams to collectively stand together and encouraged boycotting qualifying races for the 2024 Daytona 500. Attorney lawrence Buterman said NASCAR took the threat seriously, as teams had previously boycotted a meeting with executives.
Kessler stated the teams are open to settlement talks, but NASCAR has refused to renegotiate the charters. NASCAR’s attorneys declined to comment after the hearing. Bell did not indicate when he would rule.
Kessler plans to appeal the dismissal of a preliminary injunction that required NASCAR to recognize 23XI and Front Row as chartered teams. The full appellate court will hear the issue.The injunction does not affect the trial, scheduled for December. NASCAR can treat the teams as unchartered one week after the appeal deadline,provided there is no pending appeal.
Currently, 36 chartered cars participate in each 40-car race. If 23XI and Front Row lose their chartered status, their six cars would have to qualify on speed each week and receive less guaranteed money.
Arguments also addressed Jonathan Marshall, the RTA’s executive director. NASCAR seeks texts and emails from Marshall and has received about 100 texts and over 55,000 pages of emails. NASCAR wants all texts between Marshall and 55 people from 2020 through 2024 containing specific search terms.RTA attorneys said this covers over 3,000 texts,some privileged,and some deleted.
This issue will be discussed at a hearing next Tuesday before Bell. The core issue revolves around the role of the charter agreement, the role of team representatives, and the role of NASCAR in maintaining fair competition.
What’s next
The next hearing regarding the discovery dispute is scheduled for next tuesday. Both sides face pressure from the judge to find common ground and avoid a costly trial.