The ongoing charter lawsuit isn’t just about one core issue. It’s about some major problems in the sport, with one of them being why NASCAR doesn’t make the charters permanent. The reason they’re temporary currently is that NASCAR likes to review and renew them on its own to monitor everything and maintain the competitive balance the way they like. But except for them, everyone in the garage wants the opposite.

Thanks to the lawsuit, this topic was brought up in the court, when the CEO of the sport, Jim France, himself had to come into the stands to give his testimony. He justified his decision, and the roots for that mindset go back to some old-school teaching he got from his folks.

Jim France on following his parents’ advice in business dealings

Teams have pushed for permanent Charters for a long time. Making them permanent would increase the Charters’ resale values, give them more financial security, and more stability. At the same time, however, it would mean that NASCAR might lose control over the Charter negotiations and the policies they design.

This could also mean that the sport simply fails to play around with the Charter Agreement, which might hamper NASCAR’s profits. Undertstandably, this is one of the reasons why the sport has not agreed to this with teams yet. And Jim France doesn’t want to make a fake promise.

“I’ve just seen so much change over the years and things are changing at a fast pace and I don’t know how to put something in place — I don’t know how we could come to an agreement that covers forever,” he told the court. “I don’t have a sightline for the future and I don’t feel comfortable making a promise I can’t keep forever.”

France then discussed his parents’ teachings in his business dealings, claiming that his mother always taught him to pay his bills. More interestingly, he further mentioned that his deceased father, Bill France Sr., taught him to “do what you say you’re going to do.”

While this does sound like strong advice for someone getting into business, the teams haven’t been very satisfied with Jim France’s decision. His father, Bill France Sr., laid the foundation for NASCAR and managed it for a long time. Since then, the France family has largely been in control of the sport. But this ownership is often questioned.

Many claim that Jim France can solely make decisions for maximum profits, whilst leaving the teams in losses. This has also raised doubts among teams. They claim that the current revenue-sharing system is unsustainable; moreover, the increase in running costs has not seen a significant revenue increase in the Charter Agreement. This was the primary reason why the lawsuit was filed.

Previously publicized text messages have also revealed that Jim France was not interested in making the Charters permanent. However, there is more that the sport’s authorities were accused of in the NASCAR lawsuit.

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Jim France accused of making profits as teams suffered losses

23XI Racing and Front Row Motorsports filed the lawsuit against NASCAR. As the trial progresses, there have been new and surprising revelations, including Jim France’s bold statement on his business model.

However, that is not all. There have been quite a few strong statements from the plaintiffs as well. The NASCAR lawsuit focuses on alleged monopolistic policies from the sport, mainly discussing the Charters. In the initial days of the hearing, Jeffrey Kessler, representing 23XI, claimed that the France Family had been making profits at the teams’ expense.

“What the evidence is going to show is Mr France ran this for the benefit of his family at the expense of the teams and sport,” he told the court.

As per the Charter Agreement, it was understood that the teams wanted a larger share of NASCAR’s broadcasting revenue. However, then-President Steve Phelps claimed that the sport would have then run in losses.

The air around the lawsuit seems to be a bit unclear at the moment. But the statement from Jim France regarding the permanent Charters does reveal that he has never been in favor of the same. But could the lawsuit change that?