Judge Dismisses NASCAR’s Antitrust Counterclaim Against 23XI and Front Row Motorsports

According to ESPN, U.S. District Judge Kenneth Bell granted summary judgment in favor of the teams, rejecting NASCAR’s argument that 23XI co-owner Curtis Polk had illegally colluded with other organizations during charter negotiations. Polk, a longtime business partner of NBA legend Michael Jordan—who co-owns 23XI alongside driver Denny Hamlin—was part of a four-person negotiating group that engaged with NASCAR over a new charter agreement signed last year by 13 of 15 racing organizations.

Per ESPN, NASCAR’s countersuit alleged that a 2023 boycott of a team owners’ council meeting, which it said hindered its media rights negotiations, was evidence of anticompetitive behavior. The series claimed that collective bargaining by the teams gave them leverage to secure a more favorable deal than if each team had negotiated independently.

Judge Bell, however, disagreed with that assessment. He ruled that the boycott amounted to a negotiating tactic that “appeared to have little impact” on NASCAR’s ability to conduct business, noting that the series began individual discussions with teams soon after. He further found that the actions of 23XI and Front Row Motorsports did not constitute an unreasonable restraint of trade, emphasizing that NASCAR held multiple individual negotiations that produced tangible results, including adjustments to the 2025 charter agreement.

“The evidence here establishes that not only were individual negotiations ‘available,’ but NASCAR had such negotiations regularly during the negotiation period,” Bell wrote in his decision, underscoring that those talks led to the final agreement signed by 13 teams acting independently.

Related: Leading NASCAR Owners Push for Settlement in Antitrust Case Ahead of Trial

The ruling leaves two other summary judgment motions pending—one from NASCAR seeking a decision in its favor, and another from 23XI and FRM asking the court to define the market as “premier stock-car racing.” Mediation efforts last week failed to resolve the dispute, and a trial remains scheduled for December 1 in North Carolina.

According to ESPN, the case carries significant implications for NASCAR’s business structure, as 23XI and Front Row are the only teams that have declined to sign extensions on their charters. The teams argue that without guaranteed charters, they risk being driven out of the sport entirely.

Attorney Jeffrey Kessler, representing the two teams, said the ruling reinforces their push for fairness within the sport. “Today’s decision has only reaffirmed my clients’ unwavering pursuit of a more fair and equitable sport,” Kessler stated. “Their determination remains strong as we continue our efforts for a resolution that benefits everyone—teams, drivers, employees, partners and fans.”

NASCAR responded by expressing respect for the court’s decision but maintained that it disagrees with the legal reasoning. “Our priority remains resolving this matter quickly so all parties can focus on Championship weekend and continuing to grow the sport,” the organization said, adding that it intends to appeal if a settlement cannot be reached.

Source: ESPN