NASCAR and Michael Jordan Settle Antitrust Lawsuit
Michael Jordan and NASCAR reached a settlement on Thursday regarding a federal antitrust lawsuit which accused the racing organization of engaging in “monopoly bullying.” As part of the settlement, NASCAR will ensure that the charter, a crucial aspect of its business model, becomes permanent for teams in the Cup Series.
This lawsuit stretched over a year, with Jordan’s 23XI Racing team competing mainly without a charter during this time. Fortunately, both 23XI Racing and Front Row Motorsports, two of the plaintiffs, are set to regain their charters after a challenging season racing under uncertain circumstances.
While the financial details of the settlement remain undisclosed, there was previous testimony from an economist indicating that damages owed by 23XI and Front Row might exceed $300 million.
“Today is a good day,” Jordan remarked, expressing relief over the settlement.
The agreement was reached during the ninth day of trial in front of U.S. District Judge Kenneth Bell, who took a brief hiatus in the proceedings. The lawsuit originated last year when 23XI and Front Row accused NASCAR of failing to sign a charter agreement proposed in September 2024. This proposed agreement spanned 112 pages and required a commitment to ensure access to high-level Cup Series racing along with a revenue stream. By the end of that day, 13 out of 15 teams had reluctantly accepted the terms. However, Jordan and his team opted to take legal action instead, leading to a tumultuous 2025 season.
Both teams had underscored that losing the lawsuit could potentially lead to their closure.
NASCAR and the plaintiffs released a joint statement, highlighting a shared passion for the sport and a commitment to maximizing its potential. They described the settlement as a pivotal moment, promising a stronger foundation for NASCAR and a brighter future.
The negotiation process was lengthy, driven by concerns that the old revenue-sharing agreement was inequitable. More than two years of difficult negotiations culminated in what NASCAR presented as a definitive offer—one that the teams perceived as lacking in key areas, most notably, the permanence of the charter.
This settlement followed eight days of testimonies that revealed the inflexible stance of NASCAR’s founders and private owners regarding the charter’s permanence.
