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NASCAR President testifies France family was opposed to new revenue model

Story byAssociated PressThu, December 4, 2025 at 8:38 PM UTC·5 min readNASCAR teams went to the sanctioning body in early 2022 asking for an improved revenue model and argued the system at the time was unsustainable, the president of the series testified Thursday in the antitrust case lodged against the top motorsports series in the United States. TRIAL COVERAGE: NASCAR executive returns to the stand in high-stakes antitrust trialAdvertisementAdvertisementAdvertisementSteve O’Donnell, named president of NASCAR earlier this year, was at that March meeting when representatives of four teams asked that the negotiating window on a new charter agreement open early because they were fighting for their financial survival. The negotiating window was not supposed to open until July 2023. O’Donnell testified that in that first meeting, four-time series champion Jeff Gordon, now vice chair of Hendrick Motorsports, asked specifically if the Florida-based France family was “open to a new model?”Ben Kennedy, the great-grandson of NASCAR founder Bill France Sr., told Gordon yes. But O’Donnell testified that NASCAR chairman Jim France was opposed to a new revenue model. AdvertisementAdvertisementAdvertisementThus began more than two years of bitter negotiations on a new charter agreement that was finalized in September 2024. The teams had asked in that first meeting for a deal to be reached by July 2022. When the final deal was presented to the teams on the eve of the 2024 playoff opener, they were given a six-hour deadline to sign the charter agreements.

NASCAR President testifies France family was opposed to new revenue model

Credit: Yahoo

Key Highlights

  • All but two of 15 organizations signed; Front Row Motorsports and Michael Jordan-owned 23XI Racing refused to sign and instead sued, bringing the case to federal court for what is expected to be a two-week trial. O’Donnell testified that the team representatives had very specific requests: maximized television revenue, the creation of a more competitive landscape, a new cost model and a potential cost cap. NASCAR spent the next few months in internal discussions on how to approach the charter renewal process, said O’Donnell, who was called as an adverse witness for the plaintiffs.
  • NASCAR acknowledged the teams were financially struggling, and worried they might create a breakaway series similar to the LIV golf league. AdvertisementAdvertisementAdvertisementIn a presentation made to the board, O’Donnell listed various options that both the teams and NASCAR could take.
  • O’Donnell noted the teams could boycott races, build their cars internally, and race at non-NASCAR owned tracks, or potentially sell their charters to Liberty Media, the commercial rights holder for Formula 1.“We knew the industry was challenged,” O’Donnell testified. As far as NASCAR’s options, O’Donnell told the board it could lock down an exclusivity agreement with tracks not owned by NASCAR, dissolve the charter system, or partner directly with the drivers. A charter is the equivalent of the franchise model used by other sports leagues, but in NASCAR it guarantees a team a spot in the field for all 38 races plus a designated percentage of revenue.
  • The extensions that began this year upped the guaranteed money for every chartered car to $12.5 million in annual revenue, from $9 million. AdvertisementAdvertisementAdvertisementDenny Hamlin, co-owner of 23XI, and Front Row owner Bob Jenkins have both testified it costs $20 million to bring a single car to the track for all 38 races.
  • That figure does not include any overhead, operating costs or a driver’s salary. Jenkins opened the fourth day of the trial with continued testimony.
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Sources

  1. NASCAR President testifies France family was opposed to new revenue model

This quick summary is automatically generated using AI based on reports from multiple news sources. The content has not been reviewed or verified by humans. For complete details, accuracy, and context, please refer to the original published articles.

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