Just when everyone thought that NASCAR and the two teams, 23XI Racing and Front Row Motorsports, were ready to shake hands on the ongoing intense lawsuit, talks about reaching a settlement sliced through the legal chaos like a late-lap pass. The antitrust showdown could be approaching a finishing line, but not so soon. Five days before the \u2018settlement\u2019 hearing, the two teams dropped a bomb.<\/p>\n
Watch What\u2019s Trending Now!<\/p>\n
On Wednesday, 23XI Racing and Front Row Motorsports disclosed explosive text messages in a court filing as part of their antitrust lawsuit against NASCAR. And thanks to FOX Sports\u2019 Bob Pockrass, the messages, sent three years ago, have come to light. Turns out, NASCAR President Steve O\u2019Donnell and Executive Vice President Ben Kennedy have some pretty big reasons for making the teams sign the refined charter system last year.<\/p>\n
ADVERTISEMENT<\/p>\n
Article continues below this ad<\/p>\n
Steve O\u2019Donnell\u2019s texts reveal NASCAR\u2019s must-win scenario<\/p>\n
Believe it or not, the real reason behind the antitrust lawsuit is actually because of the deteriorating state of golf. The messages, shared between Steve O\u2019Donnell and Ben Kennedy, revealed a sport on edge, looking nervously at golf\u2019s appeal, where Saudi-backed LIV Golf lured top players away from the PGA Tour.<\/p>\n
O\u2019Donnell didn\u2019t hold back. Sharing his thoughts about 23XI<\/a> co-owner Curtis Polk, he said, \u201cCurtis thinks we (NASCAR) are dumb hillbillies\u2026 I want to win, and I know you do as well. It is personal now \u2014 we are against a guy who doesn\u2019t care one bit about this sport.\u201d He laid out threats bare, from private equity players indifferent to short-term returns to international series run by teams themselves.<\/p>\n ADVERTISEMENT<\/p>\n Article continues below this ad<\/p>\n He painted a doomsday scenario of guaranteed multi-million dollar payouts tempting drivers away, calling it a real threat that could devastate NASCAR if ignored. O\u2019Donnell spelled out the stakes bluntly: \u201cI don\u2019t ever want to see you in that position. We need to lock ourselves in a room and war-game this thing. Future of the sport is on the line and we need to assume \u2014 unfortunately \u2014 that 30 of 36 drivers will leave us and all owners will leave us\u2026 if we don\u2019t want that to be the case, what should we do? And what do we really think is fair?\u201d<\/p>\n Ben Kennedy\u2019s replies struck a similarly strategic chord, but with a focus on opportunity. A scenario planning paired with revenue diversification. He wrote about broadening NASCAR horizons beyond broadcast deals into international markets, sports betting, and even NFTs, framing the challenge as both defensive and creative.<\/p>\n <\/p>\n <\/a><\/p>\n \u201cNo one has the answers, but feels like we need someone constantly thinking about it,\u201d Kennedy emphasized, underlining the need for a forward-looking mindset in a rapidly evolving sports landscape. The off-site O\u2019Donnell suggested, gathering trusted executives to play out every possible scenario, was positioned as the first step in outsmarting potential deception.<\/p>\n ADVERTISEMENT<\/p>\n Article continues below this ad<\/p>\n And that is exactly when the charter system had a shake-up. The charter system, established in 2016, functions similarly to the franchise agreements and other professional sports, guaranteeing teams a starting position in each race and a share of the revenue, which generates $1.5 billion.<\/p>\n Last year, NASCAR presented a take-it-or-leave-it charter agreement to the teams with a tight deadline for signing. While 13 of 15 teams agreed to the new terms, 23XI Racing and Front Row Motorsports<\/a> refused to sign, citing unfair terms and the lack of permanent charters. They argued that the system was monopolistic and restricted their ability to negotiate better financial terms.<\/p>\n Consequently, these two teams filed an antitrust lawsuit against NASCAR, alleging violations of competition laws. However, the internal texts reflect a deep concern over the potential for teams to break away and for competing series to disrupt the scene, just like the golf world experienced with the emergence of LIV Golf.<\/p>\n The text also revealed the NASCAR fight was not purely financial; it was deeply personal. This blend of business acumen and personal determination shows why the NASCAR antitrust lawsuit is not just about contracts or revenue streams; it is about protecting the soul of the sport. But with NASCAR recently pushing for a settlement and Steve O\u2019Donnell refusing to take on the \u201cmonopoly accusations,\u201d<\/a> hoping to avoid the Dec 1 trial altogether, 23XI and FRM are fighting back.<\/p>\n 23XI and FRM push for the December trial, disregarding the settlement agreement<\/p>\n In a twist this week, court filings revealed that the two teams aren\u2019t seeing eye to eye<\/a> with the idea of a judge-led settlement meeting. FOX Sports\u2019 Bob Pockrass reported, \u201c Much of the motion appears to be written exclusively for the press, as counsel for NASCAR surely knows that the arguments they are presenting are not a basis for granting summary judgment. Stock car racing is a sport, but litigation is not. NASCAR\u2019s tired retread of arguments this Court has repeatedly rejected should be disposed of quickly.\u201d<\/p>\n