"MJ is going to receive some nice Christmas gifts": Fan reacts as Jeffrey Kessler's firm calls the NASCAR settlement industry shaping

The antitrust lawsuit filed by 23XI Racing and Front Row Motorsports against NASCAR officially ended on December 11, bringing a 15-month legal fight to a close. The case, led by Michael Jordan and Denny Hamlin on the team side, challenged the economic structure of the Cup Series and the charter system. It concluded with a negotiated settlement, reached before a jury verdict, that both sides say stabilizes the sport’s future.

The full terms of the agreement remain confidential. What is known is that the teams secured evergreen charters and major structural changes. Those charters remove expiration uncertainty and give teams a clearer long-term business path.

The legal effort was led by Winston & Strawn, the law firm hired by the teams and headed by chief attorney Jeffrey Kessler. A 15-member legal team worked on the case, and several attorneys publicly celebrated the outcome on LinkedIn following the settlement. Sports Business Journal’s Adam Stern highlighted that on X:

“@WinstonLaw , the law firm hired by 23XI/Front Row, says it "secured a transformative settlement" on behalf of the teams, and some of the at least 15 lawyers involved in the effort have started posting about it on LinkedIn.”

That post sparked fan reaction. One comment quickly gained traction, reading:

“MJ is going to receive some nice Christmas gifts from Hendrick, Gibbs, Penske and Childress.”

Back in October, NASCAR team owners had urged both sides to settle. Representatives from nine of the 13 non-litigant charter teams submitted signed declarations supporting NASCAR’s summary judgment filing. That group included Hendrick Motorsports, Joe Gibbs Racing, Team Penske, and Richard Childress Racing.

Other fans also reacted to the lawyers celebrating the settlement.

“These guys deserve their money lol. People will hate, but damn, they did an outstanding job.” “As they should. They did great work securing the dismissal of the counterclaim and the partial summary judgment and then put on a strong case with a cohesive and compelling narrative theme for a jury. With some really fantastic witness examinations along the way.” “For the second time in NASCAR history, the sport is transformed by Winston” “The only true winner was billable hours.”

With the case now settled, every team benefits from evergreen charters and improved commercial terms, even those who did not join the lawsuit. The parties will likely file a one-page stipulation of dismissal soon, which is due within 30 days.

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How will the NASCAR settlement change the future for Cup Series teams?

NASCAR Chairman Jim France (L) puts Denny Hamlin on the 75 Greatest Drivers list. Source: Getty

While both sides compromised, the balance of outcomes favors the teams. As the trial progressed, internal texts, financial disclosures, and conflicting testimony placed NASCAR under pressure. It appeared 23XI Racing and Front Row Motorsports were gaining leverage, with the main risk being uncertainty. Even with a court win, there was no guarantee their charters would be restored or how the sport would be run.

The settlement removed that risk. Both teams regained their charters for 2026 and were compensated for racing part of the 2025 season as open entries. For Michael Jordan and Denny Hamlin, the outcome capped a difficult 2025 season in which 23XI and FRM competed as open teams while carrying the lawsuit forward.

For the rest of the field, the impact is also significant. All charter teams now receive permanent charters and will share in new revenue streams, including a portion of international media rights and earnings tied to team intellectual property. Team Penske owner Roger Penske welcomed the resolution, calling it a turning point for the garage.

One additional change restores a version of the strike rule, now set at five strikes over the six remaining years of the current deal. In simple terms, any NASCAR rule change expected to cost teams at least $500,000 per car must be approved by the teams.

If they vote against a change and NASCAR enforces it anyway, that counts as a strike. If NASCAR reaches five strikes, the exclusivity clause in the charter agreement is void. That means teams would be free to race in other stock-car series without violating their contracts.

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Edited by Hitesh Nigam