After news broke Wednesday of 23XI Racing and Front Row Motorsports’ lawsuit against NASCAR, the reaction began rolling in almost immediately. Many of the messages were memes of someone eating popcorn or fireworks going off. One featured Mr. Incredible, the animated superhero from “The Incredibles” movies, strapping himself in for what appears to be a bumpy ride with the caption, “Yup, time to buckle up.”
The tone of the messages was expected. It’s a rare occasion when two NASCAR teams, one co-owned by Michael Jordan, jointly file a federal antitrust lawsuit against NASCAR and NASCAR chairman and CEO Jim France alleging that the France family and NASCAR have operated as a monopoly. NASCAR declined to comment Wednesday and has not issued a statement as of this writing.
The showdown most everyone has anticipated for the past two years has officially arrived, and one group is particularly curious to watch how it unfolds — those heading the 13 chartered Cup Series teams that are not part of the lawsuit. These team owners, presidents and high-ranking executives have a vested interest in the outcome, though many aren’t actively rooting for one side over the other — or at least not openly. This story is based on conversations with a dozen of those people, some granted anonymity here to speak candidly about the contentious situation. Their reactions show an industry anxious to see what comes from an unprecedented situation in the sport.
“I did not have the balls to do what 23XI and FRM are doing because I was afraid I’d lose my charters,” said one team owner.
On one side you have 23XI Racing, whose ownership group includes Jordan and star NASCAR driver Denny Hamlin, and Front Row Motorsports, owned by restaurant entrepreneur Bob Jenkins. An unlikely coupling, yet one that may shake NASCAR’s foundation to its core.
On the other side is NASCAR, a sanctioning body that has long been accustomed to setting the rules largely unfettered, and France, the son of NASCAR’s founder who grew up watching his father rule with an iron fist.
Neither side is accustomed to losing. Each is strong-willed and expects those within their orbit to bend to their will. No wonder that, across the industry, people are starting to pop their popcorn.
“I don’t know how this ends up, but I don’t see either MJ and Curtis (Polk, Jordan’s business partner) or Jim giving an inch. That’s not what either does,” a longtime NASCAR team executive said. “Gonna be fascinating to see what happens next.
“This could be potentially very good or very bad for the sport.”
The dispute stems from the two-year negotiation between NASCAR and the teams to land a new deal around charters, NASCAR’s franchise-like system that guarantees spots in all Cup races and provides certain monetary assurances. Last month, NASCAR presented a take-it-or-leave-it final offer — under threat of taking the charters away from any dissenters, multiple team owners told The Athletic — which 13 of the 15 teams signed. The two holdouts: 23XI and Front Row.
But even among those who signed, some team officials were left dissatisfied with the deal and the process to get there. For them, the lawsuit presents a can’t-lose scenario.
“I don’t see either (Michael Jordan) … or Jim (France) giving an inch,” says one NASCAR team executive. “… Gonna be fascinating to see what happens next.” (Meg Oliphant / Getty Images)
“(If) 23XI wins, we’re all going to get a better deal,” one team owner said. “And if 23XI loses, we’re not out anything nor is NASCAR pissed off at us (for going against them). Either way, we don’t lose.”
When it became evident last month that this fight over NASCAR’s future was on a path to federal court after 23XI and Front Row elected not to sign the charter agreement, many wondered whether a team that had signed would join the dissenters.
Thus far, though, there have been no takers.
Now that a lawsuit is filed, will this change?
“I don’t think so,” one team executive said. “Even though it wasn’t a great deal, we took the deal because it is getting us more revenue. They all can duke it out, we’ll just focus on us.”
Among the team officials The Athletic spoke to Wednesday, exercising impartiality in public while remaining on the sideline seems like it will be the popular approach to take. The other teams will likely be content to let the better-equipped 23XI — armed with Jordan’s clout, vast bankroll and powerful attorney experienced in winning high-profile antitrust lawsuits — take on the NASCAR behemoth that has stared down many a threat to its authority in its 76 years of existence. If anyone has a chance to force seismic change, it’s Jordan.
Ultimately, a jury may be the final arbiter in the dispute. But should the proceedings advance to this point, it likely won’t be for some time. Until then, those in the industry are grabbing their popcorn and anticipating several more twists and turns.
“I’ve been waiting on this,” said one team owner. “This is going to be wild.”
GO DEEPER
Why are 23XI and Front Row suing NASCAR? Here’s what you need to know
(Top photo of Michael Jordan: James Gilbert / Getty Images)
