23XI Racing and Front Row Motorsports’ lawsuit against NASCAR is prepared to go to trial on December 1st. There have been positive and negative developments for both sides up until now, and the sanctioning body has attempted its best to push back the teams’ claims. With the hearing starting soon, it has now pushed back against the ‘anti-competitive’ and similar accusations, claiming that nothing they’re doing is actually illegal.

NASCAR takes a stand against ‘illegal’ allegations

23XI Racing and Front Row Motorsports were the only two teams in 2024 who refused to sign the Charter Agreement for the 2025 season. Subsequently, they filed an antitrust lawsuit against NASCAR. They alleged monopolistic practices in the sport regarding the Charter Agreement. The plaintiffs have claimed how NASCAR’s control over tracks, suppliers, and charters clearly amounts to ‘anti-competitive’ behavior. It limits any rival series from ever taking shape.

However, right before heading into the hearing, NASCAR has claimed that it did not make any “illegal” decisions regarding the anticompetitive acts. The authorities further claim that if anything, any decision made has been to assist the TV deals (part of the Charter System) and has increased the overall charter payout. This strengthens their claim that what they’re doing is actually working.

However, there is more than just this lawsuit that NASCAR is battling.

In light of the recent developments, Steve Phelps’ text conversations were publicized, along with other top authorities of the sport. The texts revealed defamatory remarks about veteran team owner Richard Childress. There is a slight possibility that Phelps might have another lawsuit coming towards him in this regard.

Steve Phelps might be in another trouble amidst the NASCAR lawsuit

As mentioned, some of the text conversations that were surfaced and publicized as part of the lawsuit against NASCAR. These messages revealed derogatory and racial remarks used against Richard Childress, specifically from Phelps.

“Childress needs to be taken out back and flogged. He’s a stupid redneck who owes his entire fortune to nascar,” one of his texts read.

There was quite a backlash in the community owing to the nature of the message and the strong language used against the 80-year-old team owner. RCR released a team statement following this. This made it clear that Phelps might land himself in legal trouble.

“RCR and Richard Childress are deeply disappointed by the insensitive and defamatory statements made about Mr. Childress in recently surfaced text messages between NASCAR executives Steve Phelps and Brian Herbst,” the statement read. “These comments reflect the way certain NASCAR executives have historically viewed and treated many team owners like Mr. Childress, who have devoted their lives to strengthening the sport for its fans, its sponsors, and all who compete in it.”

There was also a mention of a possible lawsuit: “Mr. Childress and the organization will issue no further statements regarding these or other defamatory text messages that have recently surfaced, as legal action is being contemplated and discussed with legal counsel.”

NASCAR is under major scrutiny after the developments in the lawsuit. As it soon moves to trial, the authorities will need the best arguments to oppose the allegations. Their “illegal” message against the anti-competitive allegations seems to be a start for the same.