Michael Jordan, co-owner of the NASCAR team 23XI Racing, has filed an antitrust lawsuit against NASCAR and its CEO Jim France, alleging "anti-competitive and monopolistic control of the sport." This legal action comes after Jordan's team refused to sign what they deemed an "unfair" charter agreement with NASCAR.
The lawsuit was filed on October 2, 2024, in US Federal Court by 23XI Racing and Front Row Motorsports, the only two NASCAR teams out of 15 that did not sign the proposed new charter agreement.
Jordan and his co-plaintiffs accuse NASCAR and the France family of operating without transparency, stifling competition, and controlling the sport in ways that unfairly benefit them at the expense of team owners, drivers, sponsors, partners, and fans.
The lawsuit alleges several anti-competitive practices, including:
- Forcing teams to buy parts from a single-source supplier dictated by NASCAR
- Retaining ownership of parts and cars
- Preventing teams from racing in other series
- Acquiring NASCAR's main rival, the Automobile Racing Club of America
- Imposing exclusivity deals on NASCAR-sanctioned racetracks
Jordan stated, "I love the sport of racing and the passion of our fans, but the way NASCAR is run today is unfair to teams, drivers, sponsors, and fans."
The proposed charter agreement, intended to come into effect in 2025 for seven years, is essentially a license for teams to compete in NASCAR. The plaintiffs view the terms as unfair.
The lawsuit comes after more than two years of attempted negotiations over the 2025 agreements, during which Jordan's team claims NASCAR "continually stonewalled and refused to engage constructively."
This lawsuit represents a significant challenge to NASCAR's governance structure and business practices. As one of the most recognizable figures in sports, Michael Jordan's involvement brings additional attention to the issues surrounding fairness and competition in NASCAR.
