In a rapidly escalating legal battle, NASCAR has filed a countersuit against 23XI Racing, co-owned by NBA legend Michael Jordan, and Front Row Motorsports, alleging violations of antitrust laws and accusing them of forming an “illegal cartel” to influence the organization’s charter agreements.
Central to NASCAR’s allegations is Curtis Polk, Jordan’s longtime business manager and a co-owner of 23XI Racing, who is portrayed as orchestrating a coordinated effort to pressure NASCAR into accepting favorable terms.
The dispute originated in October 2024 when 23XI Racing and Front Row Motorsports filed a federal lawsuit against NASCAR, claiming that the stock car series operates as a monopoly and imposes restrictive conditions through its charter system.
This system, established at the teams’ request, guarantees 36 of 40 race spots and is crucial for revenue sharing. The teams argue that the current revenue-sharing model is unfair, compelling compliance due to NASCAR’s dominance as the sole major league option.
In response, NASCAR’s countersuit alleges that Polk and the teams engaged in anticompetitive behavior by interfering with broadcast negotiations, organizing boycotts, and threatening collective actions to disrupt the charter system.
NASCAR asserts that these actions jeopardize the integrity of the sport and seeks triple damages, as well as the removal of guaranteed starting positions for the two teams in the Cup Series if the dispute continues to challenge the charter agreements.
Despite these legal challenges, a federal judge granted a preliminary injunction in December 2024, allowing 23XI Racing and Front Row Motorsports to compete as chartered entries in the 2025 season while the legal proceedings continue. The injunction also permitted the transfer of two Stewart-Haas Racing charters to both teams.
This legal confrontation underscores the growing tensions between NASCAR and some of its prominent teams over the structure of the sport’s business model. As the case advances toward a trial scheduled for December 2025, the outcome could have significant implications for the future governance and economic framework of NASCAR.
