Denny Hamlin, co-founder of 23XI Racing, is taking a bold stance against NASCAR and its CEO, Jim France, accusing them of wielding their influence in an “unfair manner.” Alongside Front Row Motorsports, Hamlin’s team has filed an antitrust lawsuit in federal court in North Carolina, as they seek justice for what they believe is a flawed system.
In collaboration with NBA icon Michael Jordan and business partner Curtis Polk, Hamlin launched 23XI Racing in 2021, signaling his deep commitment to NASCAR. Despite the team’s on-track success, tensions have been brewing behind the scenes, largely due to disputes over a new charter agreement. The lawsuit follows their refusal to sign NASCAR’s latest charter proposal during negotiations that have stretched over two years, particularly around the contentious issue of permanent charters.
Hamlin, who has been a Cup Series driver for Joe Gibbs Racing since 2005, expressed his frustration, stating, “I didn’t realize how unfair this system was until I reinvested my earnings back into racing, only to be met with these power plays.” He emphasized that there comes a point where you’ve got to take action: “We reached a tipping point where we all said, enough is enough.”
NASCAR’s tight grip extends to exclusive control over the tracks used in the series, stifling any potential competition. Additionally, they dictate the supply of parts for the Next Gen car, limiting teams’ options to NASCAR-approved vendors at fixed prices and preventing the car from being utilized elsewhere.
Polk echoed Hamlin’s sentiments, asserting their goal was a fair negotiation without pressure to accept unfavorable terms. When discussions hit a stalemate, they engaged antitrust attorney Jeffrey Kessler, who believes this challenge could provoke significant change in the sport. “This situation is reminiscent of transformative moments in other sports,” Kessler noted. “NASCAR is at a crossroads: either they adopt meaningful change voluntarily or face legal consequences that push them toward it.”
Polk pointed out the massive investment they’ve made, stating, “I’ve put tens of millions into a system where one person essentially controls my fate. That doesn’t sit right.” Kessler added, “If NASCAR is unwilling to create a fair system for teams, we’re ready to take this all the way to court.”
The message is clear: the teams are ready to fight for a level playing field, and NASCAR may soon have to reckon with the changes that the legal system demands.
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