NBA legend Michael Jordan reached a settlement in his antitrust case against NASCAR on Thursday, ending a federal lawsuit that had threatened to upend the sport.
Jordan’s 23XI Racing and the Front Row Motorsports teams had both sued NASCAR after refusing to sign the circuit’s new charters, the rules which guarantee teams entry to races and share of prize money.
Front Row and 23XI alleged the charters were unfair and did not give the teams enough rights or money.
The suit accused NASCAR and the racing circuit’s chief executive, Jim Franc, of operating without transparency, stifling competition, and controlling the sport in ways that unfairly benefit them at the expense of team owners, drivers, sponsors, partners, and fans.
However, in a joint statement issued on Thursday, the warring factions announced a settlement had now been reached, which would see NASCAR issue an amendment to existing charter holders. The financial terms of the agreement were not disclosed.
“From the beginning, this lawsuit was about progress,” Jordan said in a statement.
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“It was about making sure our sport evolves in a way that supports everyone: teams, drivers, partners, employees, and fans,” added Jordan, who had testified in court last week after the trial got underway.
“With a foundation to build equity and invest in the future and a stronger voice in the decisions ahead, we now have the chance to grow together and make the sport even better for generations to come,” Jordan said.
Front Row and 23XI were the only two NASCAR teams out of 15 that did not sign the new charters at the heart of the dispute.
NASCAR chief executive France said Thursday’s agreement ensured the future of the circuit for “generations to come.”
“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,” France said.
“Today’s agreement reaffirms our commitment to preserving and enhancing that value.”
AFP