NASCAR remains entangled in high-stakes litigation after Michael Jordan’s 23XI Racing, alongside Front Row Motorsports, filed an antitrust suit contesting the charter system’s terms. An unresolved battle that has lingered through appeals and injunction hearings. Amid that broader challenge to NASCAR’s franchise-like structure, a separate conflict has arisen, and at the center of this dispute is yet another charter.
It all started with Legacy Motor Club filing a lawsuit against Rick Ware Racing, citing that they backed out of a deal to sell one of their charters. The two parties had signed a document that would see the transfer of the charter, allowing Jimmie Johnson’s team to expand to a three-car operation. But in a surprising turn of events, RWR has fought back and filed a countersuit against LMC, standing firm on their arguments.
Rick Ware Racing won’t go down without a fight
On April 1, LMC filed suit in North Carolina seeking specific performance and injunctive relief, alleging RWR “got cold feet” and attempted to back out. On April 9, LMC briefly obtained a temporary restraining order preventing RWR from selling or leasing the charter, but a judge denied a preliminary injunction later that month, allowing RWR to proceed with other arrangements pending resolution. The point of contention is the timeline in which the transfer of charter was going to happen. LMC argues that the deal was secured for 2026, whereas RWR stands firm that they had planned for a deal in 2027.
As the conflict unfolded, both teams issued statements reflecting their positions. Legacy’s complaint described RWR as “strapped for cash and unable to compete at Cup Series level,” arguing that the contract was duly signed and initialed and that RWR’s subsequent refusal breached a binding deal. RWR responded publicly. “This lawsuit distorts the actual facts and is a misguided attempt to tarnish our reputation. We are confident that the truth will prevail and look forward to swiftly resolving this matter through the proper legal channels.” In court filings, RWR’s counsel emphasized drafting errors in the agreement, calling it “chock full of mistakes,” and noted that Legacy later offered an extra $5 million to pivot to the other charter when the discrepancy emerged, but RWR declined due to existing lease commitments.
RWR replied with a countersuit, citing that Legacy Motor Club had falsely claimed it had been sold a racing contract for the 2026 season. They have two charters, the No. 27 and No. 36; Cody Ware’s son races with the No. 36 and plans to race with the 27 in 2026. “Should RWR be forced to sell charter No. 27 for 2026, it would have no charter under which to race and would go out of business,” Rick Ware Racing argued. And they went on to challenge the argument made by Johnson’s team.
Rick Ware Racing countersues Legacy Motor Club over charter dispute @SKHaulenbeek https://t.co/tLvJQ9NI3r
— Courthouse News (@CourthouseNews) June 18, 2025
The crux of the matter lies in the charter that is being leased out to RFK Racing. The two teams have a two-year deal, but the NASCAR Charter Agreement stated that a lease for a charter can be held for only one season in the tenured seven-year window. So to bypass this, RFK Racing will have the charter that Cody Ware is running with this season. Given that RWR intends to race in 2026, they cannot afford to sell the only charter they have in their possession, which LMC isn’t buying.
RWR also noted that the early drafts of the contracts reflected the importance of RWR having a charter to race in 2026. But, once the agreement was signed for the charter No. 36, LMC started insisting that the agreement was based on charter No. 27. Rick Ware Racing also tried to return that non-refundable deposit of $750,000 on multiple occasions, but LMC have refused to accept it. The reported price of the charter is around $45 million, and right now, with both parties battling for control, it just goes to show how important a NASCAR charter is. It is a lifeline for a Cup Series team to survive in the modern era.
Will RFK Racing be affected by this legal battle?
Like most of the teams, RFK Racing has been ambitious to expand its operations to three cars. Thanks to the lease deal, they have got a temporary fix, they have got Ryan Preece riding the #60 Ford, which is a charter they bagged in a lease agreement with RWR. It is worth noting that due to this charter, Kroger has signed a sponsorship deal with the team, ditching Joe Gibbs Racing, which themselves were looking for sponsors after FedEx left the #11 team.
So far, the lawsuit between LMC and RWR hasn’t affected Keselowski’s team, but given the current situation, they are not out of bounds, as the leased charter is what seems to be causing the chaos. We might see the lease agreement slashed down to just one year if Johnson’s team prevails in the lawsuit, or Rick Ware Racing goes out of business until they receive their charter back from RFK. A lot is dependent on the verdict of the dispute.
“RFK has a lease agreement currently with Rick Ware Racing for the 2026 season, but certainly we’re keeping our eyes open,” Keselowski said after 23XI Racing lost their injunction to compete as chartered organization in 2026. RFK Racing is keeping their options open, and if 23XI Racing losses the SHR charter they bought last year, they would have a permanent fix and won’t have to rely on the lease agreement.
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