NASCAR has countersued Michael Jordan’s 23XI Racing and Front Row Motorsports, alleging the teams “willfully” violated antitrust laws through coordinated actions on charter agreements. NASCAR attorney Chris Yates has commented on the matter.
NASCAR vs. 23XI Legal Battle Explained
In September, NASCAR presented teams with new charter agreements, offering a non-negotiable deal just 48 hours before the playoffs. 23XI and Front Row were the only teams that refused to sign.
NASCAR charters function like franchises, guaranteeing race slots and financial incentives for 36 teams. 23XI and Front Row are challenging the system, accusing NASCAR and its owners, the France family, of monopolistic practices. The teams have taken legal action against the organization.
A preliminary court ruling has gone against NASCAR. As a result, 23XI and Front Row will retain charter benefits while the legal battle continues.
Why Is NASCAR Countersuing?
On Wednesday, NASCAR responded with a 30-page counterclaim, naming Curtis Polk, Michael Jordan’s longtime agent, among the defendants. NASCAR stated, “The undisputed reality is that it is 23XI and FRM, led by 23XI’s owner and sports agent Curtis Polk, that willfully violated the antitrust laws by orchestrating anticompetitive collective conduct in connection with the terms of the 2025 Charter Agreements.”
“This is not the first time that 23XI and FRM have sought to impose their viewpoints, and those of their counsel, on the racing teams writ large. And it is truly ironic that in trying to blow up the Charter system, 23XI and FRM have sought to weaponize the antitrust laws to achieve their goals.”
Why isn't NASCAR suing the other teams that participated in the boycott threat or collusion? Chris Yates said the other teams signed the charter agreement and NASCAR is abiding the terms. 23XI, FRM and Polk did not and sued NASCAR, thus the counterclaim.
— Matt Weaver (@MattWeaverRA) March 5, 2025
According to the counterclaim, Polk played a key role in opposing the charter proposals. NASCAR lawyer Christopher Yates told The Associated Press that Polk is unfamiliar with NASCAR’s business model.
“Curtis Polk basically orchestrated and threatened a boycott of one of the qualifying races for a major event, and others did not go along with him,” Yates said.
“He got other teams to boycott a meeting that was required by the charter. When you have a threatened boycott of qualifying races that are covered by media, that’s not a good thing for other race teams, not a good thing when you are trying to collectively grow the sport.”
The qualifying races in question were the two 150-mile duels in 2024 that set the starting lineup for the Daytona 500.
“I don’t think Mr. Polk really understands the sport,” Yates continued. “I think he came into it and his view is it should be much more like the NBA or other league sports. But it’s not. No motorsport is like that. He’s done a lot of things that might work in the NBA or might be OK in the NBA but just are not appropriate in NASCAR.”
NASCAR is seeking to regain the four charters that 23XI and Front Row held before the legal dispute.
“There’s a misperception out there that somehow 23XI and Front Row might achieve something that other teams can take advantage of, and that’s just not right,” Yates said. “This is not going to be a renegotiation. NASCAR has no intent of renegotiating the terms of the charter. Front Row and 23XI are threatening the charter system and its continuation, and NASCAR is fine without the charter system.
“The charter system was created at the request of the teams. That was before 23XI and Curtis Polk’s time; I don’t think they understand that history. But if they succeed with their lawsuit and the charter system goes away, that’s OK.”
“The mere fact that the lawsuit calls the system into question, I really think 23XI and Front Row are being pretty selfish in terms of what they are trying to do, and I don’t think they are taking into account the 32 teams that have signed the charters and think it is a good deal for them,” Yates said.
“Do some of them think they should have gotten more? I’m sure. Does NASCAR think it should have gotten more? Absolutely. But NASCAR does not see the charter system as necessary.”
