NASCAR's legal fight with Michael
Jordan's race team heats up as court hearing looms
[August 26, 2025]
By JENNA FRYER
CHARLOTTE, N.C. (AP) — The legal fight between NASCAR and two race
teams, one owned by Basketball Hall of Famer Michael Jordan, heated
up Monday ahead of a critical court hearing as both sides filed new
motions over antitrust claims.
NASCAR said in its filing that it plans to issue one of the charters
held by 23XI Racing and Front Row Motorsports to a team whose name
is redacted in the document. It said it would do so ahead of the
2026 season.
Front Row and 23XI counterclaimed that selling charters will put
them out of business. Additionally, the teams say they will suffer
irreparable harm because not being chartered will give drivers and
sponsors the option to leave; Tyler Reddick of 23XI has such a
clause in his contract.
Both sides are due in court Thursday before U.S. District Judge
Kenneth Bell as 23XI and Front Row seek an injunction to prevent
NASCAR from selling the charters until the case has been settled. It
is scheduled to go to trial Dec. 1.
A charter is the equivalent of a franchise tag in other sports and
having one guarantees an entry a spot in each 40-car field, as well
as financial incentives. NASCAR and its teams went through more than
two years of bitter negotiations on charter extensions, with the
teams fighting to have them made permanent.
When a final offer was presented to the teams last year — days
before the playoff-opening race — the deal was a seven-year
extension with an additional seven-year option beyond that. NASCAR
got 13 organizations to sign, but 23XI and Front Row did not and
instead filed the federal antitrust suit.
The two teams have six entries between them and initially won a
temporary injunction to be recognized as chartered as the case heads
to trial. That has since been overturned and the teams have
appealed, but NASCAR has notified the court it plans to start
issuing the six charters to others and wants back the money that
23XI and Front Row were paid when they were recognized as chartered
earlier this season.
The playoffs begin Sunday at Darlington Raceway in South Carolina.
Among the 16 championship contenders are 23XI Racing drivers Reddick
and Bubba Wallace, as well as team co-owner Denny Hamlin, who drives
for Joe Gibbs Racing.
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Bob Jenkins, owner of Front Row Motorsports and Co-Owner Michael
Jordan, of 23XI Racing, pose before a NASCAR Cup Series auto race at
Talladega Superspeedway, Oct. 6, 2024, in Talladega, Ala. (AP Photo/
Butch Dill, File)
In Monday's filing, the teams say they have
“smoking-gun documents” that show NASCAR wants to force competitors
to sign “one-sided” charter deals. The teams also allege NASCAR
acted illegally in trying to exclude competition.
The teams also accused NASCAR of “bullying and retaliatory behavior”
and said “teams were forced to accept below competitive market
prices, and have the same standing as college athletes or UFC
athletes who also were forced to accept below market prices.”
Because the six charters held between 23XI and Front Row have been
returned, NASCAR is arguing the teams never really had them, never
signed charter agreements and that it has enough interest in them to
begin reissuing them. NASCAR also says it cannot be forced to do
business with parties it does not want to do business with.
The teams say selling the charters will put them out of business and
contend NASCAR has so far done little to disprove the antitrust
allegations.
“Much of NASCAR’s opposition is filled with personal attacks on
plaintiffs, the racing teams, Curtis Polk and anyone else who has
dared to challenge NASCAR’s monopoly,” the teams said. “None of
these attacks have anything to do with the merits of plaintiff’s
antitrust claims against NASCAR or plaintiff’s pressing need for a
preliminary injunction.”
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