Michael Jordan's team files lawsuit against NASCAR

The two stables are the only ones for not having signed the document required by NASCAR on September 6, and laying the foundations for the franchise agreement between the championship and its teams over the next few years. Each team has a maximum of three franchises, which allow associated cars to compete in all rounds of the season, leaving four places free in the field each week for non-franchise teams. By not signing the franchise agreement, NASCAR, 23XI and Front Row are at risk of losing their franchises, and thus having to qualify every week. The position of 23XI, which won the regular season with Tyler Reddick, has helped to highlight some potential dysfunctions in the way NASCAR runs this system.

The case is now before a federal court, with 23XI Racing and Front Row Motorsports accusing NASCAR of violating the country's antitrust laws. These laws are designed to prevent the monopoly situation that NASCAR finds itself in, according to the two teams. The complaint denounces opaque management on the part of the France family, owners of NASCAR. The federation itself buys up some of the tracks on which it competes (sometimes preventing other series from competing there as well), and allegedly requires teams to buy their mechanical parts from single suppliers of its choice, while prohibiting teams from competing in other stock car series. With NASCAR's purchase of the ARCA series in 2018, there are no national stock car series left that are not managed by the National Association for Stock Car Auto Racing.

Both teams released the following statement:

“We share a passion for racing, the thrill of competition, and winning. Off the track, we share a belief that change is needed for the sport we love. Together, we filed this antitrust complaint so that motorsport can thrive and become a more competitive and fair sport that benefits teams, drivers, sponsors, and most importantly, fans.”

Management by the France family at the heart of the concerns of both teams

Michael Jordan himself also spoke out about the lawsuit: “Everyone knows I’ve always been a fierce competitor, and that desire to win is what drives me and the entire 23XI Racing team every week on the track. I love motor racing and the passion of its fans, but the way NASCAR is currently run is unfair to the teams, drivers, sponsors and fans. This action shows that I’m committed to fighting for a competitive market where everyone wins.”

The complaint explains in particular that if the teams are beginning to suffer from financial problems, with only 8 structures still competing among the 19 that had received a franchise or more in 2016, NASCAR does not have the same worries, having signed a new television rights contract of 7,7 billion dollars until 2031. "No other sport in America is run by a single family that gets rich through these monopolistic practices that are not checked and contained.", we can also read in the complaint filed.

In the midst of the 2024 playoffs, NASCAR could have done without these kinds of considerations. Owned by the France family since its creation in 1948, NASCAR has undergone profound changes throughout its history, but none have affected the very heart of its management. Time is running out to resolve this impasse, with the 2025 season starting in early February with the Daytona 500, the most prestigious event in the championship.

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