NASCAR commissioner Steve Phelps resigns after Michael Jordan lawsuit

NASCAR Commissioner Steve Phelps announced Tuesday that he would resign from his position after two racing teams, including one owned by Michael Jordan, filed an antitrust lawsuit against the company.

The lawsuit also uncovered inflammatory text messages he sent during contentious revenue-sharing negotiations. Jordan’s 23XI Racing and NASCAR settled their lawsuit last month.

But the top NASCAR executive was deeply hurt during the trial — and the discovery process that led to it — when communications he exchanged with top leaders were exposed. In one exchange, Phelps called the Hall of Fame team’s owner, Richard Childress, “a stupid redneck” who “needs to be taken out from behind and whipped.”

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That led Bass Pro Shops founder Johnny Morris, an ardent supporter of both NASCAR and Richard Childress Racing, to write a letter demanding Phelps’ removal as commissioner.

“As a lifelong racing fan, I am proud to have served as NASCAR’s first commissioner and led our great sport through so many incredible challenges, opportunities and firsts in my 20 years,” Phelps said in a statement. “Our sport is built on the passion of our fans, the dedication of our teams and partners, and the commitment of our wonderful employees.

“It has been an honor to help synthesize the enthusiasm of long-standing NASCAR stakeholders with that of new participants in our ecosystem, such as media partners, automakers, track operators and incredible racing talent.”

Phelps will leave the company at the end of the month, before the start of the season. He was named NASCAR’s first commissioner last season after a courting process for the same position by the PGA Tour. The opportunity with the PGA was revealed during December testimony at trial.

Michael Jordan, center, and Curtis Polk, left, co-owners of 23XI Racing, watch during qualifying alongside 23XI Racing President Steve Lauletta, right, for a NASCAR Cup Series Championship auto race on Nov. 9, 2024, in Avondale, Arizona. (AP Photo/John Locher, File)

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“Steve will always be remembered as one of NASCAR’s most impactful leaders,” said Jim France, NASCAR president and CEO. “For decades he has worked tirelessly to excite fans, support teams and execute a vision for the sport that has given us all some of the greatest moments in our nearly 80-year history.”

Front Row Motorsports and 23XI Racing filed their lawsuit last year after refusing to sign agreements on new charter bids NASCAR introduced in September 2024. The teams had until the end of the day to sign the 112-page document, which guarantees access to high-level Cup Series racing and a revenue stream, and 13 of 15 organizations reluctantly agreed. Jordan and Jenkins sued and ran most of the 2025 season without permission.

Financial terms of the deal were not disclosed, but an economist previously testified that 23XI Racing and Front Row Motorsports were owed more than $300 million in damages.

All teams felt the previous revenue-sharing agreement was unfair, and more than two years of bitter negotiations led to NASCAR’s final offer, which was described by the teams as “take it or leave it.” The teams believed the new agreement lacked their four key demands and, most importantly, that the statutes be made permanent rather than renewable.

23XI Racing co-owners Denny Hamlin, driver of the No. 11 FedEx One Rate Toyota, and NBA Hall of Famer Michael Jordan speak on the grid after the NASCAR Cup Series YellaWood 500 at Talladega Superspeedway on October 6, 2024 in Talladega, Alabama. (Chris Graythen/Getty Images)

The agreement came after eight days of testimony during which the French family based in FloridaNASCAR’s founders and private owners proved adamant in making the bylaws permanent.