23XI Racing, co-owned by Michael Jordan, and Front Row Motorsports file a lawsuit against NASCAR
On Wednesday, the two racing teams, 23XI Racing and Front Row Motorsports, took legal action against NASCAR, claiming the organization is hindering fair competition and breaching the Sherman Antitrust Act. They argue that NASCAR’s demands force teams to comply with “anticompetitive terms” to participate.
This lawsuit was lodged in the Western District of North Carolina and arrives after a lengthy two-year dispute involving NASCAR and over a dozen charter-holding teams competing at the highest level of stock car racing.
23XI Racing is notably co-owned by Michael Jordan, a Basketball Hall of Famer, alongside driver Denny Hamlin.
In a public statement, Jordan expressed, “It’s well-known that I have a strong competitive spirit, and that drive motivates me and the entire 23XI team every week on the track. I have a deep passion for racing and its fans, but the current management of NASCAR is unjust to teams, drivers, sponsors, and fans alike. Today’s action demonstrates my commitment to fighting for a fair competitive landscape that benefits everyone.”
The lawsuit, as reported by YSL News Sports, describes the “France family and NASCAR as monopolistic bullies,” asserting that “bullying tactics will continue until those affected refuse to be pushed around. That pivotal moment is now.”
NASCAR has not yet given a response to YSL News Sports regarding this lawsuit.
The lawsuit points out that, unlike major professional sports leagues such as the NFL or NBA—which teams own and operate themselves—NASCAR has always been privately held by the France family, including the current CEO and Chairman, James France. “By capitalizing on its monopolistic dominance over racing teams, NASCAR has enforced anticompetitive conditions that restrict teams’ access to competitions,” it states.
Additionally, the racing teams argue that NASCAR lacks transparency and monopolizes the sport in a way that disproportionately favors the organization, disadvantaging owners, sponsors, drivers, and fans.
The lawsuit specifies that on September 6, NASCAR delivered a final, take-it-or-leave-it proposal to racing teams, imposing a deadline of 6 p.m. for acceptance or they risked losing their charter for the upcoming season.
