Since the expiration date of the charter agreement drew near last year, there has been significant protest against NASCAR’s economic policies. Despite two years of intense debate, NASCAR has only made minimal concessions to the race teams, many of which, constrained by financial pressures, have accepted the organization’s terms. However, two teams have notably resisted, including Denny Hamlin’s 23XI Racing.
Hamlin, a prominent figure in the Race Team Alliance, has been particularly vocal in advocating for changes. Even though his team’s future might be at risk, Hamlin is committed to his stance, even severing a long-standing relationship with NASCAR.
After months of demanding a larger share of media revenue, more influence, and permanent charters, the teams have received little in return. NASCAR’s updated charter deal remains unclear, but teams are expected to forfeit certain rights, and permanent charters are off the table. Hamlin has declared that 23XI Racing is prepared to face the consequences, even if it impacts Bubba Wallace’s career. He stated in a recent interview: “We don’t have a charter agreement, we don’t owe the series anything. And they don’t owe us anything. So it goes both ways.”
The team has also called for “fair and equitable practices.” Curtis Polk, an investor in 23XI Racing and Michael Jordan’s business partner, accused NASCAR of using unfair tactics, describing the situation as “David versus Goliath” due to NASCAR’s dominant influence over the sport and the charter process. Front Row Motorsports also missed the charter-signing deadlines, though they did not explain their absence.
Reflecting Hamlin’s defiant position, NASCAR has responded negatively to 23XI’s stance. Notably, no NASCAR leadership attended the trophy ceremony after Tyler Reddick’s regular-season championship win. Hamlin acknowledged the deep rift between 23XI and NASCAR, saying, “Look, can a charter deal get done? Yeah, absolutely it could. But again, someone will have to wake up and have a completely different mindset. I just don’t know that that is gonna be possible.”
In contrast, Brad Keselowski, a veteran driver and co-owner of a Cup Team, views the situation more optimistically. When NASCAR set a deadline for signing the new charter agreement, some interpreted it as a pressure tactic. Both 23XI Racing and Front Row Motorsports were notably absent from the signing event. Keselowski praised their decision to stand firm, stating, “Certainly respect their decision-making ability.”
Despite the contentious atmosphere, Keselowski does not feel that teams are being coerced. He explained, “Well, I don’t necessarily know where that’s coming from. Forced is a really strong term, but we are getting to a spot where it’s important to get these things settled.”
Keselowski, whose team signed the charter deal, noted the significance of NASCAR’s recent $7.7 billion media rights agreement. He said, “We felt it was right to do a deal and move forward. We’re glad that the economics are improved and to go with where the media landscape has moved. The sport lives and dies off the media rights deal. When the media rights deal got done this winter, that was a big, big deal for the sport, and now you’re seeing the dominoes falling behind that, but don’t forget what the first domino is.”
While most teams, including Keselowski’s, have aligned with NASCAR’s expectations, Hamlin’s defiant approach continues to create a complex dynamic. It remains to be seen how far his confrontation with NASCAR will extend.
