Michael Jordan's 23IX Racing files antitrust lawsuit against NASCAR
By Joe Lago
Michael Jordan hasn’t played an NBA game since 2003, but he’s taken very intentional steps to dunk on his latest opponent.
On Wednesday, 23IX Racing, a stock-car racing team co-owned by Jordan, and Front Row Motorsports filed a federal antitrust lawsuit against NASCAR and CEO Jim France for using “anti-competitive practices to prevent fair competition in the sport.”
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The lawsuit challenges NASCAR’s “charter” agreement, which dictates how much money Cup Series teams make through media rights revenue sharing and certain monetary guarantees. Thirteen of 15 teams signed an extension of the agreement for seven years with a seven-year option.
The holdouts were 23IX and Front Row. Both were vocal about wanting a better deal. They're now challenging the way NASCAR does business in federal court.
“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,” Jordan said in a statement. “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.”
Jeffrey Kessler, the attorney representing 23IX and Front Row, believes the lawsuit could be "transformative" for the sport.
“This is reminiscent for me of many sports that have gone through a transformative model,” Kessler said. “(It’s) sort of a moment when the legal style basically confronts them and says, either you’re going to voluntarily change or you’re going to be changed and you can either get on the bus or get run over by the bus. No one wanted this litigation but NASCAR didn’t really give these teams any choice — you either submit to the bully or you fight. They’re going to fight.
“We think at the end of the day, NASCAR’s going to have to change because that’s what the legal system is going to require.”
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