Even before the 2025 NASCAR Cup Series season began, controversy loomed heavy over the sport. The ongoing antitrust lawsuit by 23XI Racing and Front Row Motorsports (FRM) against NASCAR not only sent shockwaves throughout the tourney and beyond, but also revealed the worrying state team owners find themselves in. As the two parties await a decision—that’s surely going to change the sport’s landscape—many in the community have already delved into who’s in the right. That list now also includes Richard Childress. But before we get to that…

For the unversed: The October 2 antitrust lawsuit from last year claims that NASCAR’s “actions violate antitrust laws”. To get into a bit more detail, the two teams alleged that since NASCAR owns the series, the majority of tracks, requires teams to parts for their cars from a NASCAR-approved supplier, while also prohibiting tracks and teams from participating in any other racing series without prior approval, the stock car racing organization is reportedly violating “antitrust law by controlling the market”. Additionally, 23XI and FRM also “view the new 2025 charter agreement as unfair when it comes to revenue distribution to the teams in combination with the restrictions.” 

As per a latest development from January 10 this year, NASCAR’s motion to dismiss the case was denied by U.S. District Court judge Kenneth Bell. Having said that, though every team owner except Michael Jordan-Denny Hamlin, and Bob Jenkins signed the charter agreement without much resistance, Childress is finally coming out to speak his mind…

Appearing on The Dale Jr Download podcast on February 4, at one point Dale Earnhardt Jr asked, “I wanted to ask you about the charter agreement. We’re all sitting here, watching this lawsuit thing go down. I don’t know…I kind of wasn’t sure how detrimental this could be for the sport, but I’m not too concerned at this point. I think having conversations with some of the people in the industry, it’s one of these deals that’s just got to play itself out. Everybody’s going to have to probably compromise when it’s all said and done, but they’ll eventually come to some terms…The sport will continue to move down the road. But, I’m not a guy that owns a charter; you are. Does the lawsuit concern you at all you?”

To this, the 79-year-old team owner responded, “I think I got to be careful how I answer this because I could get eat up. I think that they had a reasonable a reason to not sign the agreement. We received it hours before and we had a deadline to sign it and I signed it. I had to. I had no choice. I have sponsors, I have everything out there but they felt that they had a reason and right to…There [were] only three or four things that we were missing on that everyone was still trying to negotiate and when those negotiations was over, these two guys went on their own, which I’m glad to see them do it. Because they stood up for what they felt was right…But, I think, like you said…it’ll end up working out…”

“What we were asking for wasn’t going to cost NASCAR nothing and all we wanted was to be treated fair. And that’s all these two guys are asking for now is to be treated fair,” the team owner further said. To this, Earnhardt Jr asked, “Can you speak [about] the few terms that you wanted? You don’t have to if you don’t want to…”

Richard Childress: “I think one of the biggest ones that just like…the first PBR franchise, their franchise sold for $3 million. They sold six of them…I bought mine for just a little more. The last two franchise sold for $22 million a piece. Then we got split…the owners, those eight owners got split 50% with the sanctioning body. And that’s how, that’s all we wanted out of it. That’s all I want to see for my family….The enterprise value of those charters should be 10 times where they are today, just like football and that’s all I think..we’re all asking for.”

Dale Earnhardt Jr: “I hear what you’re saying and I don’t disagree with you at all. When BK racing was trying to sell his [charter] and get rid of his for $2 million, and then somebody walks in the door and wants to sell you one for [$6 million] and then a couple months later a guy Walks in, wants to sell it for $12 million. And then now they’re valued or they’re probably like…anywhere from 25 to $40 million. And so the value is expanding…It won’t be very long where they’ll be valued at $150 million and beyond.”

This issue impacts all team owners, not just 23XI and FRM. Without a clear system that guarantees long-term value, teams struggle to attract sponsors and secure financial stability. The ongoing lawsuit has exposed these flaws, and Childress believes it’s time for change. His comments highlight how critical this battle is for the future of team ownership in NASCAR.

Tyler Reddick remains confident in Michael Jordan

While NASCAR’s legal battle continues, 23XI Racing driver Tyler Reddick continues to focus on racing. As a key driver for 23XI Racing, he has witnessed the charter dispute firsthand. However, he trusts his team owners to navigate the situation. In a candid conversation with The Associated Press, Reddick spoke his heart out about the issue. He revealed that despite the legal uncertainty, he never doubted his team’s leadership.

“I wouldn’t say it was uncomfortable, but certainly I was paying attention to it. I have a lot of faith in our owners. I believe in them, and I believe in their process. That’s why I came here, and that’s why I’m still here… The vibes are good. Everyone’s focused and getting ready for the season. From that standpoint, I’m in a happy place,” Reddick told the Associated Press.

Former Richard Childress Racing driver’s comments reflect how calm the situation was at 23XI. The team has been one of the top performers and would be keen to continue their run. While legal battle continues to focus remains on track, 23XI Racing is preparing hard for the upcoming Daytona 500. The season opener will take place on February 16 at the iconic Daytona International Speedway.