23XI and FRM Sue NASCAR

23XI Racing—owned by basketball icon Michael Jordan and NASCAR driver Denny Hamlin—and Front Row Motorsports filed an antitrust lawsuit against NASCAR and its CEO, Jim France, on Wednesday. The lawsuit, submitted in the Western District of North Carolina in Charlotte, alleges that the stock car racing organization and the France family have engaged in anti-competitive practices that stifle fair competition within the sport.

“We share a passion for racing, the thrill of competition, and winning,” the two teams stated in a joint release. “Off the racetrack, we share a belief that change is necessary for the sport we love. Together, we brought this antitrust case so that racing can thrive and become a more competitive and fair sport in ways that will benefit teams, drivers, sponsors, and, most importantly, fans.”

Among the anti-competitive practices outlined in the lawsuit are NASCAR’s control over a majority of the premier racetracks, its acquisition of the rival ARCA series, restrictions on teams participating in non-NASCAR events, and requirements that teams purchase supplies from NASCAR-approved vendors.

“No other major professional sport in North America is run by a single family that enriches themselves through these kinds of unchecked monopolistic practices,” the press release from 23XI and Front Row Motorsports declared.

Central to the lawsuit is NASCAR’s revenue-sharing charter agreement, which was implemented in 2016. Both teams have opted not to renew their charters, citing “unfair terms” and advocating for a larger share of the revenues.

The lawsuit seeks treble damages for what the teams describe as the “anti-competitive terms that teams have been subject to under the 2016 charter agreement.”

23XI Racing, co-founded by Michael Jordan, veteran driver Denny Hamlin, and Curtis Polk in 2020, and Front Row Motorsports, owned by Bob Jenkins and competing full-time since 2005, are united in their push for change. “Everyone knows that I have always been a fierce competitor, and that will to win is what drives me and the entire 23XI team each and every week out on the track,” said Jordan, a basketball Hall of Famer. “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. Today’s action shows I’m willing to fight for a competitive market where everyone wins.”

NASCAR representatives have not yet issued a public response to the lawsuit.