In a recent court filing, NASCAR accused 23XI Racing—co-owned by NBA legend Michael Jordan—of using an antitrust lawsuit as a “meritless” ploy to renegotiate contract terms in their favor. According to NASCAR’s legal team, the lawsuit is an attempt by 23XI Racing to extract better contract conditions after missing a deadline to sign NASCAR’s 2025 charter agreement. NASCAR also claims that the suit is a strategic move to gain leverage by forcing expedited discovery, a process the governing body describes as unnecessary.
The dispute centers around a lawsuit filed by 23XI Racing and Front Row Motorsports against NASCAR and its CEO, Jim France, in a North Carolina federal court. The plaintiffs allege that NASCAR’s use of charters, which guarantee teams a spot in races but limit their ability to compete outside of NASCAR-sanctioned events, constitutes an abuse of power and stifles competition. According to Sportico, the lawsuit claims that NASCAR holds too much control over the premier stock car racing circuit, suppressing economic opportunities for teams and rival organizations.
Charters are a crucial component of NASCAR’s current structure, granting teams a secured place in races, but 23XI Racing and Front Row Motorsports argue that the system is restrictive and monopolistic. They did not sign the 2025 charter agreement before the deadline in September, and are now seeking a preliminary injunction that would allow them to compete as chartered teams while avoiding the enforcement of a controversial contractual clause—Section 10.3—which waives antitrust claims.
