Michael Jordan laughs at NASCAR’s claims as bitter antitrust feud barrels toward a trial

After two failed days of mediation, NASCAR and two of its teams have resumed their bitter antitrust fight in court. The hearing, which took place in Charlotte, North Carolina, featured team owner Michael Jordan reacting with disbelief at some of the testimony as the legal battle intensifies.

The lawsuit was filed by 23XI Racing, co-owned by Jordan and Denny Hamlin, and Front Row Racing, owned by Bob Jenkins. These two teams are the only ones out of 15 that have refused to sign extensions for new charter agreements, which are essential for NASCAR’s business model. Charters guarantee revenue and access to weekly races, and without them, the two teams claim they will likely go out of business.

Despite calls from other teams for a settlement to move the series forward, three mediation sessions have failed to reach a resolution. The trial is set for December 1, with both sides appearing to be far apart in their positions.

During the hearing, there were disagreements over the scope of damages owed to the two teams. NASCAR accused 23XI and FRM of engaging in “classic cartel behavior” and seeking damages for not signing charter extensions. However, the arguments presented by NASCAR were met with skepticism by the teams’ legal representation, Jeffrey Kessler.

Kessler argued that NASCAR’s claims about teams being free to compete in other racing series such as IndyCar and F1 were misleading. He pointed out that the financial realities and entry barriers of those series make them unsuitable alternatives to NASCAR. NASCAR’s assertions about Chip Ganassi Racing’s transition to IndyCar were also challenged, as Ganassi has long been a prominent team in the series.

Throughout the hearing, Michael Jordan expressed disbelief at NASCAR’s claims, and both Hamlin and Jenkins vehemently disagreed with the series’ assertions. The dispute revolves around the original charter agreements that were set to run through 2024, with NASCAR claiming they have added value for teams but owners seeking changes.

Despite initial success in being recognized as chartered teams for the 2021 season, 23XI and FRM have since competed as “open” teams due to a legal ruling. The case is now focused on determining damages dating back to the 2021 season and addressing exclusionary clauses in the charter agreements.

The hearing concluded with the scheduling of expert witness testimonies for two November court dates. The trial is set to continue after Denny Hamlin competes for the Cup Series title in November. The legal battle between NASCAR and the two teams is likely to have significant implications for the future of the sport.

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