In a significant courtroom disclosure, NASCAR President Steve Phelps has testified that the sport's founding France family was opposed to a proposed new revenue model for the stock car racing series. The testimony was delivered on Monday, December 1, 2025, in the Western District of North Carolina in Charlotte.
Courtroom Testimony Reveals Internal Disagreement
Steve Phelps took the stand as part of ongoing legal proceedings, where he revealed a key internal conflict. According to his testimony, the France family, which holds controlling ownership of NASCAR, was against the implementation of a new financial structure designed to alter how revenue flows within the organization. This model was intended to reshape the economic relationships between NASCAR, team owners, and tracks.
The presence of prominent team owners at the courthouse underscored the high stakes of the case. Front Row Motorsports owner Bob Jenkins and 23XI Racing co-owner Denny Hamlin were both seen arriving at the federal courthouse in Charlotte, North Carolina, on that Monday morning. Their attendance highlights the direct impact this legal battle and the underlying revenue dispute have on team operations and the broader business of the sport.
The Core of the Conflict
While the specific financial details of the contested revenue model were not fully elaborated in the public testimony, the core issue revolves around the distribution of the sport's substantial income. Traditional models have long been a point of contention among team owners, who argue that the current system makes it difficult to achieve profitability despite massive investments in competition.
The opposition from the France family represents a major hurdle for any proposed structural change. The family, through NASCAR's parent company, has maintained firm control over the business since the sport's inception. Phelps's testimony confirms that leadership faced resistance from the very top when attempting to negotiate a new economic framework with team stakeholders.
Implications for NASCAR's Future
This public revelation in a Charlotte courtroom sheds new light on the behind-the-scenes challenges facing NASCAR's administration. It points to a period of internal debate over the sport's financial future as it competes in an evolving media and entertainment landscape. The testimony suggests that while NASCAR's executive team, led by Phelps, may have been negotiating new terms, they did so without the full backing of the ultimate decision-makers.
The legal context of this testimony remains part of a broader case, but the disclosure itself is a pivotal moment. It formally places a previously private boardroom disagreement into the public record, potentially influencing ongoing negotiations between NASCAR and its team partners. The outcome of this conflict could significantly dictate the economic stability and competitive balance of the sport for years to come.
