NASCAR commissioner Steve Phelps has declared that a high-stakes antitrust lawsuit will not destroy his long-standing friendship with basketball icon Michael Jordan, despite the pair finding themselves on opposing sides of a federal court battle.
A Friendship Tested in Court
Phelps, who was named commissioner in March after joining the organisation in 2005, expressed his disappointment that the NBA Hall of Famer has chosen to take legal action. The trial, which began this week in a federal court in Charlotte, North Carolina, sees Jordan's racing team, 23XI Racing, and Front Row Motorsports suing NASCAR. They accuse the premier American motorsports series of operating as a monopolistic entity, in violation of federal antitrust laws.
"It's unfortunate he decided to go in this direction," Phelps told the Daily Mail. However, he was adamant about their personal relationship: "Michael and I have known each other a long time, and I consider him a friend... we'll get through this, and Michael and I will figure out our future together."
The Core of the Legal Battle
The explosive case centres on accusations that NASCAR is a monopoly that has constrained racing teams with an unfavourable revenue model. A significant early victory for Jordan's side came when the judge ruled that NASCAR does indeed hold a monopoly over its market. The task for the six-person jury is now to determine whether the organisation abused that power and broke antitrust laws.
The conflict stems from a new charter agreement, NASCAR's version of a franchise system, which took effect this year. 23XI Racing and Front Row Motorsports were the only two of 15 teams to refuse to sign the deal last year. The agreement followed over two years of fraught negotiations, culminating in NASCAR presenting a final offer on the eve of the 2024 playoffs and refusing further discussion.
While the deal did not meet all team requests, thirteen organisations signed, fearing the loss of their charter status—a protected position guaranteeing entry into every race and a set share of the prize purse.
Gloves Are Off in Charlotte Courtroom
Three-time Daytona 500 winner Denny Hamlin, who co-owns 23XI Racing with Jordan and business manager Curtis Polk, indicated the trial would be fiercely contested. The lawsuit was first filed in 2024, and proceedings are expected to last two weeks.
Phelps, while lamenting the lawsuit, made NASCAR's position clear: "I'm not thrilled about the lawsuit but we have to defend ourselves, which we're doing vigorously, and I look forward to getting it behind us. Because what I do know: it doesn't help anyone. It certainly doesn't help the sport."
He added that he is looking forward to the case's conclusion so the sport can "come together and continues to grow." Testimony has continued with key NASCAR executives, including Scott Prime, the executive vice president of strategy, taking the stand.
