Latest / Kenny Wallace Media / NASCAR Trial: The Sport Is Losing | Matt Weaver Reports
Transcript
- 0:00Greetings from a very frigid Uptown Charlotte.
- 0:07The the clearest sign that I've become something of a of a local
- 0:11or or at least a regular is that I've gotten in the habit of
- 0:15calling it Uptown instead of downtown.
- 0:18That's the thing apparently, but just figured I would update
- 0:22update you guys on some trial thoughts.
- 0:26Also, it's so cold. It's like 30 to 31° that walking
- 0:32and talking is good for my my warmth.
- 0:38Trying to run over here car rolling into a hotel.
- 0:45People keep asking me, you know, who do you think is winning?
- 0:52I don't think that's a fair, a fairway of looking at this.
- 0:57And I I think this is problematic of our culture and
- 1:02in general, right? We, we, we, we treat politics
- 1:05this way. We treat trials this way.
- 1:10Hold please. I digress.
- 1:30We, we, we, we treat the trial like we treat our politics.
- 1:35And I think we treat both of them wrong.
- 1:38That it's not a, it's not a sporting contest, right?
- 1:43Like the the best way for me to answer that question while also
- 1:50acknowledging that I'm not a lawyer.
- 1:53And so like, I can't even tell you legally, you know what the
- 1:57score is, though, that it matters.
- 2:00The jury can't either. And the jury's being asked to
- 2:04decide something and they're not legal scholars anyway.
- 2:07But I keep telling people that the analogy I use is this is not
- 2:14a basketball game in the sense that it's not like both sides
- 2:19are getting the ball and trying to put points on the board.
- 2:22You know, shooting 2 shooting threes at best.
- 2:27What's happening last week in the first couple of days of this
- 2:31week is that 2311 in front row Jeffrey Kessler and company,
- 2:35they get a chance to put points on the board.
- 2:42But the way the the legal process works is it's not for
- 2:46NASCAR to then get the ball and try to score.
- 2:50They try to take points off the board.
- 2:51If we have to use a sporting analogy, which I think so many
- 2:56of you want to do, that's what happens, right?
- 3:01So like Kessler and company present their their case and
- 3:06they if you if you followed every single day, it's very
- 3:09clear the narratives that they're building.
- 3:13And under cross examination, Chris Shates and Larry Buterman
- 3:22and that whole group, they're trying to rebut the the
- 3:28arguments that are being made by Kessler 2311 in front row.
- 3:32And so they're not trying to score points themselves.
- 3:35That comes at some point starting tomorrow.
- 3:38And however long this goes, it'll be, you know, the NASCAR
- 3:45side's opportunity to make their legal argument and it'll then be
- 3:52on 2311 in front row to rebut that under their cross
- 3:58examination. So if you have to put points on
- 4:02the board, you don't calculate that until after the trial is
- 4:09over. And certainly Judge Bell has
- 4:13been arguing that or, or or just encouraging is the better word.
- 4:20The jury to remember that you know, don't make your mind up
- 4:25until you've heard all the evidence and Chris Yates has
- 4:30said repeatedly, just remember you're hearing just one side of
- 4:33the argument. And So what I would tell you is
- 4:38that obviously the 2311 in front row case.
- 4:44How do I want to phrase this? I I want to be fair.
- 4:48There's two ways that I look at this case right.
- 4:52I mean, there's the, the things that matter from an industry
- 4:59standpoint, from a NASCAR racing fan, racing enthusiast
- 5:05standpoint. Like I'll give you an example.
- 5:07Hold on. I was walking with my book bag
- 5:10on one shoulder switch up. There are things that matter
- 5:18from a, you know, a racing enthusiast standpoint that have
- 5:23no legal basis for consideration whatsoever.
- 5:31All that matters is that this court, actually the court that's
- 5:37right there in front of me now, right there, that court, that
- 5:41court, the Western District of North Carolina has found that
- 5:48NASCAR is indeed a monopsony, which is a buyer's monopoly,
- 5:56meaning they are the only buyer of a service in the market.
- 6:04And the market is here in my car.
- 6:07Got some ice starting to form on it, too.
- 6:09It's cold. A monopsony is the only buyer in
- 6:19a market and for the case of this conversation, the the
- 6:25market is premier stock car teams.
- 6:30So the court has decided I want a car that NASCAR is a
- 6:35monopsony, right? And so that's without question.
- 6:41I, I keep seeing tweets sometimes Facebook comments is
- 6:45like, see, NASCAR is a monopoly. Yeah, we, we know that, but
- 6:51that's not illegal. That's not that's not the matter
- 6:57at hand here. So the matter at hand and what
- 7:01the judge has encouraged this jury to to consider is did
- 7:06NASCAR use their monopsony power in the market to a harm
- 7:15competition? Because that is what the entire
- 7:19premise of the Sherman Antitrust Act is designed to do, is to
- 7:22encourage competition. And so if a monopsony is using
- 7:27their their monopoly power to hurt competition, that's bad.
- 7:35And the other thing is, is do they use their monopsony power
- 7:39to harm those who are in the market, right.
- 7:46So that would be the teams, those who are being bought in
- 7:53in, in the market. So that's the way I encourage
- 7:59everyone to look at this case, you know, whether it's the
- 8:04sensational stuff about teams finances or Richard Childress
- 8:10text messages or what have you, right?
- 8:13Like try to ask yourself, is this just interesting to me?
- 8:20There's a lot of things here that are interesting to me, but
- 8:24you didn't have to run it through the filter of is it
- 8:26relevant to determining if NASCAR is a a monopsony that
- 8:34harmed competition or those in the marketplace.
- 8:39I'm walking by the court. I'll show you guys the court
- 8:42here in a second. It's a nice courtroom.
- 8:50Apparently was updated a couple of couple years ago, I think
- 8:56looked at the the renderings, but there's no way to determine
- 9:04who's winning. There's not a a scorecard,
- 9:08right? So turn around here because I
- 9:11don't want to walk. There's a lady walking her dog
- 9:14and I don't want to be a creep or a weirdo, but I'm just
- 9:18shooting this video. But those are the conversations
- 9:22I want all of you to to have. And then the other thing, too,
- 9:28obviously, is that awesome train of thought.
- 9:36Oh, the jury. I was going to talk about the
- 9:38jury. We can talk about our opinions
- 9:43and our legal acumen. This thing is being decided by
- 9:49literally, you know, 6 + 3, three backups of everyday
- 9:55people, people who are not super NASCAR enthusiasts, people who
- 10:00are not legal analyst. And so sometimes both sides do
- 10:09things to try to play to that crowd, right?
- 10:16I mean, to either make someone look unreliable to catch them in
- 10:20a lie. And so it's not even about the
- 10:23merits of the the case, which by the way, is why I think this
- 10:27thing is going to go to regardless of who wins and
- 10:30loses. It's going to go to the appeals
- 10:33court, the 4th Circuit of Appeals in Richmond, VA, where
- 10:38the injunction was heard and decided about the charters
- 10:43earlier this year. That's the second step, the
- 10:46appeals court. And they could add another year
- 10:49to whatever the outcome is, whatever the jury decides.
- 10:53And from there, if the 4th Circuit rules and the losing
- 11:01party doesn't like that outcome, it could be petitioned to the
- 11:06Supreme Court. Now, the Supreme Court does not
- 11:09hear every single case that their petition for.
- 11:13It's a very small percentage. But what could make this thing
- 11:16really crazy is I'm kind of a amateur legal person.
- 11:20Like, I really love, you know, the politics meets the law
- 11:27space. And so I understand the process
- 11:31a little bit. But what could happen?
- 11:35Let's just say for a second that SCOTUS is even remotely
- 11:38interested in hearing this case. They could determine that what
- 11:45has been decided so far is too broad and they'll send it back
- 11:50to this court, District Court, to narrow the scope of what
- 11:55needs to be decided before it could then go back to the 4th
- 11:59Circuit, go back to SCOTUS. And what I'm trying to tell you
- 12:03is this could be the first year that we've been through this 15
- 12:08months now of a multi year process.
- 12:13And so I think when I wrote my trial preview 2 weeks ago,
- 12:19before this started right before Thanksgiving, I said this is not
- 12:25the beginning of the end. This is the end of the beginning
- 12:28potentially. I think there's a long a long
- 12:33way to go on this and we're just starting to scrape the surface.
- 12:38A lot of people keep asking me, what do I think?
- 12:40There's one guy, Dave. Dave, I'm talking to you.
- 12:44I appreciate your your support. You're a fan of mine.
- 12:47But I also see that you're criticizing those of us in the
- 12:50media for not having opinions or we're all reporting the same
- 12:55things. This is real life.
- 12:57And like, listen, we when we cover racing, which is a
- 13:00entertainment product for the most part, it's cool for me to
- 13:03share what I think about the playoff format or race format or
- 13:07competition package. And the grand scheme of things
- 13:10doesn't matter, right? As race cars going in circles,
- 13:13what's happening in here? This is this is the real.
- 13:16This is the real. And it's not my money.
- 13:20It's never going to be my money. It doesn't behoove me to, you
- 13:28know, pick a side to, to, to root for one side or the other.
- 13:34Candidly, I think there's merits for both, rightly.
- 13:37I think anything that turns into a legal dispute, if you're
- 13:40intellectually honest and you look at things objectively, you
- 13:48can see arguments for both sides objectively and maybe a little
- 13:56subjectively. As a race fan, I want teams to
- 13:59be healthier. I think having an entity like
- 14:03NASCAR that overseas competition, a separation
- 14:08between the sanctioning body and the competitors, that's
- 14:11generally healthy. I don't like the idea of the
- 14:13France family owning teams. I know we see that in IndyCar
- 14:16and that's been something that's been argued here too, and we saw
- 14:19how bad that could be in IndyCar this past season with some of
- 14:23the controversies going on at Team Penske.
- 14:25So I have opinions, rightly. I'm not, I'm not, I'm not
- 14:29Switzerland. I just want to be very careful
- 14:31that when sharing my opinions, I don't make an ass of myself in
- 14:35the process and just say things that are uncoupled, uncoupled,
- 14:40uncoupled from reality. The one opinion that I have
- 14:45that's the strongest in my opinion is that it's just
- 14:49disappointing. So this, this is my strongest
- 14:52opinion on the matter. TV ratings are down.
- 14:59They're down in part because we're not as healthy as we used
- 15:04to be, but it's also down because NASCAR, and they told
- 15:08the teams this in advance, made a strategic decision to try to
- 15:10jump on streaming early enough while, you know, the money was
- 15:15there, while there was growth opportunities, but it meant that
- 15:18overall audience would go down 14 to 15%.
- 15:22Regardless of why our audience is down.
- 15:26I say are because we're all in this boat together, right?
- 15:29I mean, I, I don't get paid to write about Motorsports unless
- 15:34the ecosystem is healthy. So like I, I will say we because
- 15:38I am in this ship and so are you.
- 15:41We all are when we talk about stakeholders, the industry,
- 15:45that's all of us, right. So we all have equal stake in
- 15:50this and some, some capacity. So my strongest opinion about
- 15:55this trial is that I'm just disappointed that it's gotten to
- 15:58this part, even though I recognize why and I respect and
- 16:04I, I understand why. But the part that disappoints me
- 16:07the most is that at a time to where we need to as an industry,
- 16:12be growing the audience, trying to find the laps fan and to
- 16:18bring them back, try to find new fans and bring them here, by the
- 16:21way, that's important. I know some of you hardcore fans
- 16:24feel like you know you've been chased away in the pursuit of
- 16:28the the new fan. Both matter, man, and both
- 16:31matter a lot. But none of that matters right
- 16:33now because we're not doing that.
- 16:35We're not trying to chase the laps fan.
- 16:37We're not trying to chase the the new fan because what's
- 16:40happening here is that the sanctioning body is telling two
- 16:44teams that they suck and two teams are telling the
- 16:47sanctioning body that they suck. All this year fans have been
- 16:51saying the sanctioning body sucks.
- 16:53And you know, there's people in the sanctioning body that are
- 16:56frustrated with fans, frustrated with media.
- 16:58There's media who's frustrated with fans.
- 17:00And I say all of this because we are all telling each other and
- 17:06the world how much we suck. And that part's frustrating,
- 17:09man. And so I really just hope you,
- 17:12you asked me for my opinion, right, Dave?
- 17:14You asked me for my opinion. I just, I keep hoping this thing
- 17:20finds a settlement that is amenable to all parties because
- 17:26right now I do like broom broom, but not right now.
- 17:32I'm trying to have a conversation.
- 17:35I hope there's an amenable solution here because more than
- 17:40anything, this industry just needs to start putting together
- 17:44holistic conversations with everyone involved about how
- 17:48we're going to grow this sport, right?
- 17:50How to make this car shut up. This is my Robin Miller moment
- 17:54where it's like, shut them up. I'm trying to shoot a video, so
- 17:58my Robin Miller is my hero. So I've always wanted to do
- 18:00that. I'm not going to cuss here
- 18:01because I don't want to be memed yet.
- 18:04There's enough things to meme me over, I just hope that this
- 18:09doesn't take 345 years goes the SCOTUS route.
- 18:14Because right now NASCAR, like all facets of the motorsport
- 18:20industry, short track racing, dirt racing, straight line
- 18:23racing, all of it. Motorsport is not as popular on
- 18:28the whole as it was 152025 years ago.
- 18:31That's just a objective fact. And I hope that whatever happens
- 18:36by the end here in this court, whatever court across the board,
- 18:42leaves this industry in a place to where it starts to be able to
- 18:45pick up the pieces and get healthier.
- 18:47That is my opinion. And hopefully no one gets mad at
- 18:51that because I don't think that's, it's not quite
- 18:53Switzerland, but it's pretty close.
- 18:54But it's really how I feel. And so I'm going to keep
- 18:57covering this. And yes, we're all going to have
- 19:00the, you know, the same quotes and the same material because
- 19:04they're all stuck in the same courtroom, you know, listening
- 19:06to the same testimony. This isn't like the garage where
- 19:09you can walk in there and get whoever you want.
- 19:12The testimony is what the testimony is.
- 19:14And so it's an interesting story.
- 19:17I'll close with this man. I mean, it's the, it's been
- 19:20interesting. People keep saying, is it fun?
- 19:22It's not fun because you're seeing, you know, the sport
- 19:25being torn apart by everyone involved in it.
- 19:27That part's not fun. But I, I'm watching this, this
- 19:31part of the industry that I've spent my entire adult life
- 19:33trying to be a part of its pieces deconstructed and laid
- 19:37bare. And that's really fascinating to
- 19:42see the charter agreement, see the sanctioning agreements, to
- 19:45see private communications, to see how everyone really feels
- 19:48and how everything really works. The, the watch has been
- 19:53deconstructed and you see all of its pieces and then and how it
- 19:56works. And that part's been fascinating
- 19:57and hopefully it ends on Friday because I'm I'm fascinated out.
- 20:03I'm ready for Christmas. I went to the Derby.
- 20:05I'm sleepy from that say I got the, you know, the dark circle
- 20:09thing going on as bad as I thought it would look, but I'm
- 20:12I'm tired, y'all. And so that's what I think about
- 20:15the 2311 in front row Motorsports versus NASCAR
- 20:19antitrust trial. Let me know what you guys think
- 20:22and maybe we'll keep doing some more of these.
- 20:25Throughout the week and just in general, people seem to like me
- 20:29yakking in front of a phone, and so if you guys like it, I'll
- 20:32keep doing it. I'm no Kenny Wallace, I don't
- 20:34have the Sunoco mug. I'm open to it if someone wants
- 20:38to sponsor a mug. I'm a coffee drinker.
- 20:39I just got kicked out of Starbucks, so I don't have the
- 20:42mug on me, but I like talking racing with Y'all and I like
- 20:45talking NASCART with y'all. So we'll do it again in the
- 20:48morning. Talk to y'all later.