Former NASCAR Xfinity Series driver Kenny Wallace recently expressed his thoughts on X about the current controversy surrounding the lawsuit filed by Michael Jordan’s 23XI Racing and Bob Jenkins’ Front Row Motorsports against NASCAR. The teams stood out as they were the only ones not to sign the final draft of the charter agreement the sport presented last month.
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According to Jeffrey Kessler, the legal representative of the teams, the antitrust lawsuit alleges that the France family, which owns NASCAR, has reaped monopoly profits by leveraging its ownership and control.
He argued that this has allowed NASCAR to exploit its position as the only premier stock car racing organization in the United States. The suit also highlights a contentious point where NASCAR presented the teams with its final offer at 5 p.m., initially giving them just an hour to decide, before extending the deadline to midnight.
The primary objective behind the lawsuit filed by the teams is to amend the agreement to increase the revenue share for the teams, ensure the permanence of charters, and give the teams a voice in rule changes.
The lawsuit contends that antitrust action is the only route to opening the market for competition and securing equitable charter terms for the teams in stock car racing. Amidst the legal battle, Wallace offered a caution to the involved teams regarding the potential risks of their actions.
He said, “NASCAR cannot let Michael Jordan Front Row win this. Because if they win this that means NASCAR are going to have to give up millions and millions and millions and millions of dollars. […] I just think this gon’ be a deal over 23XI and Front row will have to walk on eggshells. But I think… I almost think they’re martyrs. That’s ugly saying, but that means they’re willing to kill themselves to get this right. “
“Coffee with Kenny”
2 race teams file lawsuit on @NASCAR .
MY Opinion 😳 pic.twitter.com/itMU5vekqq— Kenny Wallace (@Kenny_Wallace) October 2, 2024
He further raised a question: should Jordan win the lawsuit, what’s to stop the teams that have already signed the contract from returning to NASCAR to demand a share of the spoils? That is why NASCAR and the France family might pull out all the stops to secure a victory in court.
NASCAR teams’ lawyer discusses the implications of not winning the lawsuit
While Jordan, Denny Hamlin, and Bob Jenkins are aiming for a victory in their legal battle against NASCAR, questions arose about their future in the sport should they not succeed. Curtis Polk recently put this question to Kessler, who responded,
“They are going to do their best to keep competing as long as they can, and we expect it to end in a legal victory or settlement that transforms this sport.”
As of now, NASCAR has not issued an official response, but it is anticipated that they will present a strong defense similar to their successful 2009 legal challenge.
In that case, the U.S. Court of Appeals for the Sixth Circuit ruled in favor of NASCAR against a speedway that alleged NASCAR had abused its control to exclude the speedway from hosting a Sprint Cup event violating the federal antitrust laws. However, later it was established that KYS’s expert witnesses were unreliable and NASCAR won the case.
