Front Row Motorsports financials take center stage during trial

CHARLOTTE, N.C. — Bob Jenkins, the owner of Front Row Motorsports, took the stand to close out a contentious Wednesday in the Western District of North Carolina, and he spent significant time discussing his company’s financials.

Front Row Motorsports and 23XI Racing filed an antitrust lawsuit against NASCAR and CEO Jim France in October 2024, alleging that they are an illegal monopoly that used anti-competitive acts to hurt teams while enriching the France family. A year of hearings, motions, and rulings led to this trial, which started on Monday in front of Judge Kenneth D. Bell.

Early portions of the direct examination, conducted by FRM and 23XI’s legal team, focused on Jenkins’ history as a card carrying member of the Dale Earnhardt fan club and how he got into the sport as an owner. It also focused on how he bought two Taco Bell locations in the early 2000s, which has expanded to 400 locations on the East Coast, as well as several KFCs and Long John Silver’s.

It was during this early session that Jenkins said Front Row Motorsports has lost millions of dollars each year while competing in NASCAR. He particularly said the team lost more than $7 million in 2022.

He also said that the team has about nine races per year where it can’t sell sponsorship. He pointed to Pocono and New Hampshire as harder markets for sponsors. He handles this by putting a business close to him on the car for free instead of just running a blank car. This could be Long John Silver’s or his trucking company among other options.

The free sponsorship became a point of contention during cross-examination. NASCAR’s legal team, represented by Lawrence Buterman during this session, repeatedly said that not charging Long John Silver’s for race sponsorship could have cost him millions.

Jenkins pushed back saying that his bottom line of $50,000 per race meant that he would only generate about $250,000 in revenue. This would not be a large dent in the “millions” he said he loses each year.

Buterman said that Jenkins could not blame NASCAR for him losing millions before the start of the charter system. Jenkins said in response that his costs have only increased since the charter system began.

Why does Jenkins stay in NASCAR even though he keeps losing money? He pointed to multiple reasons. One is that there is no other premier stock car racing series for him to go. The other is that he believes in the sport.

“I think we are sitting on something special,” Jenkins said. “That’s why I’m so passionate about changing the system.”

This became a talking point during cross-examination as Buterman said that Jenkins could have sold his two charters at the end of 2024 for $60 million and walked away from the sport.

“That’s not the point,” Jenkins fired back. He added that he had nowhere to go if he wanted to be in stock car racing, which is why he said they were trying to change the system.

Other details from Jenkins’ time on the witness stand:

• Jenkins said the estimates from NASCAR for the Next Gen car were about $205,000 per car. He said that he now spends $350,000 per car, not counting the engine. He must have 21 total cars to account for three teams. This puts the total cost at $7,350,000 or $2,450,000 per charter.
• According to Jenkins, they used to have the ability to repair some damaged parts for the Gen 7 car. Now, they have to “scrap anything with a blemish.”
• Jenkins said that two days before the September 2024 deadline to sign the Charter Agreement, he offered to fly to Daytona with Richard Childress and other owners to meet with Jim France. According to Jenkins, France would not take this meeting.
• Jenkins said that he admires many things about the France family and that they have done some great things. He does not count the Charter Agreement among them. He adds the charter system is great for the sport, but he views the Charter Agreement as anti-competitive.
• NASCAR’s legal team and Jenkins had a back-and-forth focused on the comment that the Daytona 500 is the easiest race to sell sponsorship for. The attorney asked if Daytona is so easy, why did one car have Long John Silver’s as the sponsor. Jenkins had to explain that this was for the summer race, not the Daytona 500.
• NASCAR’s legal team brought up contracts where drivers paid Front Row Motorsports to drive. Matt Tifft agreed to pay $2.6 million in 2019 through the Tifft Family Trust. $2.1 would go to FRM and $500,000 would go to Lakeway Christian Academy, which Jenkins founded. This deal never happened due to medical issues.
• Chandler Smith paid $1.5 million for this Truck Series ride. Some discounts went to Smith as his father’s construction company helped with a project for the school.
• NASCAR noted that Jenkins sent a proposal to 23XI Racing in 2021 when the two teams discussed a merger. The FRM owner offered to exchange two charters for two $8 million donations to Lakeway Christian Academy. Hamlin did not accept this proposal.
• In a 2015 email to now-former members of the Race Team Alliance, Jenkins said it was imperative to reduce the size of the field. He viewed the Open category as a detriment to the sport, something he still believes to this day. He pointed to a “backmarker” car wrecking a championship contender.
• Jenkins said that a locked field with guaranteed spots would increase the health of the sport while benefiting teams and NASCAR simultaneously.
• NASCAR’s legal team said Jenkins has exclusivity language in his driver contracts, preventing them from racing in other series without written approval. He compared this to the Goodwill Provision in the Charter Agreement that the lawsuit calls anti-competitive. Jenkins said the situations are apples and oranges. Only 40 cars can compete in the Cup Series while “150” teams are trying to land the talented drivers.