From Hampton Georgia – NASCAR’s relationship with Huntersville, North Carolina based 23XI Racing, co-owned by NBA legend Michael Jordan and NASCAR driver Denny Hamlin, has hit a major snag. The team missed a critical Friday night deadline to sign a new charter agreement with the sanctioning body, citing concerns that they did not have a fair opportunity to negotiate the terms.
The dispute centers around the new charter agreements, which are set to govern the NASCAR Cup Series from 2025 to 2031. 23XI Racing, which includes Jordan’s right-hand man Curtis Polk, has expressed dissatisfaction with the process, suggesting that NASCAR’s pressure tactics left them feeling coerced rather than engaged in a genuine negotiation.
Sources close to the matter, speaking on condition of anonymity, have claimed that several teams felt “threatened and coerced” into signing the extensions. This sentiment has heightened tensions within the sport as the NASCAR playoffs prepare to kick off at Atlanta Motor Speedway.
In a pointed letter to NASCAR, 23XI Racing articulated its refusal to sign the new agreement, emphasizing that they had communicated their concerns in writing before the deadline. “We are interested in engaging in constructive discussions with NASCAR to address these issues and move forward in a way that comes to a fair resolution, while strengthening the sport we all love,” the team stated.
Adding to the drama, Curtis Polk was seen at the Southern 500 with a note on his shirt asking not to be questioned about the charter, further illustrating the team’s frustration. This came as 23XI Racing driver Tyler Reddick claimed the regular-season championship, but the team noted that NASCAR had not presented him with the trophy.
The current charter system, in place since 2015, guarantees entry for 36 cars in a 40-car field each week, along with a share of TV revenue and prize money. However, ongoing negotiations have seen teams pushing for a greater revenue share, a permanent charter system, and a seat at the negotiating table, all of which NASCAR has resisted.
NASCAR’s recent proposals have included new clauses and stipulations that teams like 23XI Racing find problematic. One such clause, according to Hamlin, involves an anti-disparagement agreement, which restricts teams from publicly criticizing NASCAR.
With the playoffs set to begin and four charters still reserved by NASCAR for potential future manufacturers, the stakes are high. The future of these negotiations will likely shape the sport’s landscape for years to come.