NASCAR reached a settlement Thursday of the bruising antitrust lawsuit filed against the stock car series by two of its race teams, including one co‑owned by NBA great Michael Jordan.
Settlement Announcement
The agreement was reached on the ninth day of the trial before U.S. District Judge Kenneth Bell. Details were not immediately released, but the deal was announced in the gallery where Jordan watched attorneys announce the outcome. “Today’s a good day,” Jordan said as he waited.
How the Trial Unfolded
Judge Bell had set aside motions hearing for an hour‑long sidebar. At the end of that hour, Jeffrey Kessler, attorney for 23XI Racing and Front Row Motorsports, emerged from a conference room and informed a court clerk, “we’re ready.” Kessler then led Jordan, 23XI co‑owner Denny Hamlin, and Front Row owner Bob Jenkins to another room for further talks.
Background of the Lawsuit
23XI and Front Row filed the lawsuit last year after refusing to sign the new charter offers NASCAR presented in September 2024. Teams had until the end of the day to sign the 112‑page document, which guarantees access to top‑level Cup Series races and a revenue stream. Thirteen of the fifteen organizations signed, but Jordan and Jenkins chose to sue instead and raced most of the 2025 season without a charter.
Stakes for the Teams
Both teams said a loss in the case would have put them out of business. An economist earlier testified that 23XI and Front Row were owed over $300 million in damages. The settlement therefore represents a significant financial reprieve for the two organizations.
Judge Bell’s Perspective
Bell told the jury that sometimes parties at trial have to see how the evidence unfolds to arrive at a settlement. “I wish we could’ve done this a few months ago,” he said in court. “I believe this is great for NASCAR. Great for the future of NASCAR. Great for the entity of NASCAR. Great for the teams and ultimately great for the fans.”
What the Teams Wanted
All teams felt the previous revenue‑sharing agreement was unfair, and two‑plus years of bitter negotiations led to NASCAR’s final offer. The teams described the offer as a “take‑it‑or‑leave‑it” proposition. They believed the new agreement lacked all four of their key demands, most importantly that charters become permanent instead of renewable.
The Role of the France Family
The settlement followed eight days of testimony in which the Florida‑based France family, the founders and private owners of NASCAR, were shown to be inflexible in making the charters permanent. When the defense began its case Wednesday, it seemed focused more on mitigating damages than proving it did not act anticompetitively.
Key Takeaways
- NASCAR and the two teams reached a settlement after nine days of trial.
- The deal was announced in the gallery, with Jordan commenting, “Today’s a good day.”
- The lawsuit stemmed from teams refusing to sign September 2024 charter offers.
- Judge Bell praised the settlement as beneficial for NASCAR, its teams, and fans.
- An economist had earlier estimated damages of over $300 million for the teams.
The settlement remains confidential, but its approval marks a turning point for the teams that had raced the 2025 season without charters. It also signals NASCAR’s willingness to address long‑standing disputes over revenue sharing and charter permanence.
Closing
While the exact terms of the agreement are still undisclosed, the outcome underscores the importance of compromise in the high‑stakes world of professional stock car racing. The decision is expected to bring stability to 23XI Racing and Front Row Motorsports and may influence future negotiations between NASCAR and its member teams.
