Motor racing’s Nascar series has reached a settlement with its 23XI and Front Row Motorsports teams with which it has been embroiled in a long-term legal feud over antitrust concerns surrounding stock car racing.
Front Row Motorsports and 23XI (co-owned by NBA icon Michael Jordan) accused Nascar of monopolistic practices relating to its revenue-sharing “charter” model, introduced in 2016 and renewed in 2024, through which the pair claimed Nascar worked to prevent competition.
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The settlement, financial terms of which will remain confidential, has ended the case, with a number of notable concessions that could change the landscape of Nascar for the future.
Both 23XI and Front Row Motorsport have regained their charters, three each, which were suspended amid the court proceedings.
Furthermore, the 36 charters of all 15 Nascar teams will now become ‘evergreen’, effectively making them permanent rather than expiring, and those teams now have an increased say in the governance of the series, and crucially, an increased share in the series’ overall revenue.
The teams have, reportedly, already been made aware of these changes in a Thursday meeting, with the new rules to be implemented at a later date.
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By GlobalDataAlso reinstated is the three-strike rule, now expanded to five strikes, which allows teams to flag complaints with Nascar rule changes and, if a team were to reach that three (now five) strike threshold, they could depart to race for a rival stock car series.
The decision came after both plaintiffs rested their case after eight days of court in Charlotte, North Carolina.
Following the conclusion of the case, Bob Jenkins, owner of the Front Row Motorsports team, commented: “After more than 20 years in this sport, today gives me real confidence in where we’re headed.
“It was clear we needed a system that treated our teams, drivers, and sponsors fairly and kept the competition strong. With this change, we can finally build long-term value and have a real voice in Nascar’s future.”
In a separate statement, Nascar chief executive and chair Jim France added: “This outcome gives all parties the flexibility and confidence to continue delivering unforgettable racing moments for our fans, which has always been our highest priority since the sport was founded in 1948.
“We worked closely with race teams and tracks to create the Nascar charter system in 2016, and it has proven invaluable to their operations and to the quality of racing across the Cup Series. Today’s agreement reaffirms our commitment to preserving and enhancing that value, ensuring our fans continue to enjoy the very best of stock car racing for generations to come.”
The next season of Nascar will begin on February 15, 2026, with the iconic Daytona 500 race.
