“This isn’t the 1960s, and these predatory practices do not withstand scrutiny.”
A new charter agreement has been signed, by most. Charters are the NFL equivalent to franchises in the world of NASCAR racing.
23XI Racing and Front Row Motorsports are the lone holdouts in NASCAR’s new charter agreement. Every other charter team has signed a new deal for 2025-2031.
NASCAR teams sign new charter agreement; 23XI Racing excluded
After years of negotiations around a new deal, NASCAR put their foot down ahead of last week’s playoff opener. According to many team owners, NASCAR hinted that they would take charters away from teams that didn’t sign by a deadline of midnight last Friday.
The new deal:
Under the new deal, signed by most teams, they’ll see an increase in season-ending payouts. Under the previous deal, the last-place charter team earned $4-5M. With the new agreement that same position will result in a payout of $8.5M
NASCAR President says race teams are losing money
NASCAR signed a new TV deal that will be put in action next season. That deal is estimated at a 40% increase in value over the previous deal.
Teams were looking for a larger portion of the TV revenue pie and that was the center of negotiations over recent years. With a 40% increase in TV revenue, it appears that despite a larger TV value, teams didn’t get much more of the pie. NASCAR is mostly sharing the increased value of the new TV package with the teams.
The overall pie distributions don’t appear to have shifted significantly, if at all. If those rumored numbers are correct.
Under the old pie distributions, tracks earned 65%, teams 25% and NASCAR held the remaining 10% of TV revenue for themselves.
NASCAR accused of threatening to revoke charters for agreement
Curtis Polk says NASCAR applied ‘predatory practices’ to get teams to sign
Curtis Polk is a business partner for Michael Jordan.
“The contract offer took away essential rights, and we believe that all teams, including those who signed, may not have been given a true opportunity to negotiate or fully understand the implications of the contract terms,” Polk told Jenna Fryer.
He added, “This isn’t the 1960s, and these predatory practices do not withstand scrutiny.”
Polk noted that NASCAR had refused to deal with 23XI Racing regarding negotiations. It’s a statement that has been echoed by Denny Hamlin multiple times in recent months.
NASCAR charter sold for $40M to Spire Motorsports; New record
Trackhouse Racing comments
“If the day doesn’t come when finally somebody goes, ‘We’re done here. We’ve taken as long as we need.’ Then, it will never come. The negotiation will never end,” Trackhouse Racing co-owner Justin Marks told Dave Moody via Sirius XM NASCAR Radio.
“I was ready and anticipating the day where it came where NASCAR said, ‘This is it, we’re done. We’ve addressed all these issues, you know where we won’t move.” He added, “We’ve moved on the things that you want us to. We’ve agreed on 90% or 75% of it.’ “
“That day came last week.”
“Everybody can interpret it in their own way. Ultimately, it’s NASCAR’s sport and they said, ‘We are done negotiating here. It’s not going to change. This is the deal that’s on the table.’ “
“I looked at that and said, ‘Well, I’m not going anywhere. So, we’re going to sign it.’ You can interpret that any way that you want.”
Denny Hamlin says it costs $18M to run a NASCAR team
Brad Keselowski comments
Brad Keselowski is the co-owner of RFK Racing.
“For us, we felt like it was right to do a deal and move forward,“ Keselowski told Bob Pockrass.
” ‘Forced’ is a really strong term. But we are getting to a spot where it’s important to get these things settled. We’re glad that the economics are improved to go with the media landscape that moved,” Keselowski responded on if RFK was forced to sign the deal.
Keselowski added, “Right now, the sport moves around the media rights deal.”
NASCAR teams looking for more money; Series issues statement
