Michael Jordan Sues Nascar Over Alleged Monopoly Harming His Team
NBA legend Michael Jordan has launched a lawsuit against Nascar, accusing the motorsport giant of running an illegal monopoly that has financially harmed his team, 23XI Racing, BBC reports. Jordan attended the first day of the trial in Charlotte, North Carolina, listening to testimony from co-owner and three-time Daytona 500 champion Denny Hamlin.
The suit, filed alongside Front Row Motorsports, claims Nascar has made hundreds of millions of dollars by restricting opportunities. At the heart of the dispute is Nascar’s charter system, which guarantees teams a place in all Cup Series races but is renewable and revocable. Jordan’s teams refused to renew their charters last year, arguing the agreements are unfair and limit profit potential.
Charters and control under scrutiny
Lawyers for 23XI and Front Row say Nascar controls nearly every aspect of the sport, from car parts to track ownership, limiting innovation and making competition difficult. Front Row owner Bob Jenkins has reportedly never made a profit since starting his team in 2004, despite winning the Daytona 500 in 2021. Over 70% of Nascar teams lost money in 2024, according to a study cited by the plaintiffs.
Nascar, owned by Jim France, son of the sport’s founder, denies wrongdoing. Its defence argues the charter system is not mandatory, points to recent payout increases, and says the France family’s efforts have built Nascar into a major American success story over 75 years.
High stakes for 23XI and Front Row
The trial, expected to last around two weeks, will be decided by six jurors. Jordan and the teams are seeking financial compensation for legal fees and losses due to non-renewed charters. A win could force changes to Nascar’s charter system or even require structural reforms, while a loss could jeopardise 23XI and Front Row’s operations.
Michael Jordan became majority owner of 23XI Racing in 2020 alongside Hamlin and adviser Curtis Polk. The team began with a single car driven by Bubba Wallace and has since expanded to three cars, winning multiple races and playoff appearances.
Celebrity involvement in Nascar is growing, with figures such as Pitbull and LeBron James investing in teams. Jordan’s legal challenge could reshape how Nascar operates and affect its future governance and revenue model.
