NASCAR Sues AT&T for $100 million

[Hoss Ghoul]

BROOKLYN, Mich. - NASCAR filed a $100 million counter claim against AT&T Inc. on Sunday, accusing the wireless provider of interfering with its exclusive sponsorship agreement with rival wireless company Nextel.
NASCAR filed the suit electronically in U.S. district court in Atlanta, alleging breach of contract, fraud and misrepresentation, and conspiracy to aid and abet wrongful interference with Nextel.

http://my.earthlink.net/track?id=1017947&add=1&url=/article/spo?guid=20070617/4674b1c0_3ca6_155262007061787980498

[Galveston dunes]

It was only a matter of time. Now lets see what A.T.&T. say and do.

[trumperZ06]

BROOKLYN, Mich. - NASCAR filed a $100 million counter claim against AT&T Inc. on Sunday, accusing the wireless provider of interfering with its exclusive sponsorship agreement with rival wireless company Nextel.
NASCAR filed the suit electronically in U.S. district court in Atlanta, alleging breach of contract, fraud and misrepresentation, and conspiracy to aid and abet wrongful interference with Nextel.

http://my.earthlink.net/track?id=1017947&add=1&url=/article/spo?guid=20070617/4674b1c0_3ca6_155262007061787980498

;) Hhmmmm... this could get.. "interesting" !!!

[muggle not]

The suit also asks that NASCAR be granted the right to kick AT&T — and all telecommunications companies other than Nextel — out of its top series in 2008.

[dont_be_jack]

This is just making NASCAR look more and more like a staunch, whiny bitch and could possibly drive more sponsors away from the sport.

[Galveston dunes]

Didn't the article say NEXTEL was complaning. Thats not the race people doing it; Its the sponsorship of the sport.IMO

[blakebeatty]

I highly doubt that NASCAR is doing this for selfish reasons. This is NEXTEL acting through NASCAR. Don't be calling NASCAR the bad guy

[dont_be_jack]

I highly doubt that NASCAR is doing this for selfish reasons. This is NEXTEL acting through NASCAR. Don't be calling NASCAR the bad guy

You kind of need to even though they're acting as a puppet. They filed the countersuit, they therefore support the action.

[call_me_andrew]

This is just making NASCAR look more and more like a staunch, whiny bitch and could possibly drive more sponsors away from the sport.

I wonder what Stan has to say about that.

[muggle not]

This is just making NASCAR look more and more like a staunch, whiny bitch and could possibly drive more sponsors away from the sport.
Sponsors are driven by profit. They will go where they make money.

[dont_be_jack]

Sponsors are driven by profit. They will go where they make money.

But if there is a large enough threat to their money, they won't do it. And this could end up being that major threat.

[muggle not]

I see no actual threat to a sponsor's money. This is all about "Communication" companies. There are only 2 in Nascar Cup as car sponsors. The only real loss that i see would be the opportunity to make "more" money by being a sponsor of Nascar racing.

That said, I hope that Nascar loses their suit. Sponsorship should be open to all.

[Sparky1329]

I see no actual threat to a sponsor's money. This is all about "Communication" companies. There are only 2 in Nascar Cup as car sponsors. The only real loss that i see would be the opportunity to make "more" money by being a sponsor of Nascar racing.

That said, I hope that Nascar loses their suit. Sponsorship should be open to all.

Dollar for dollar AT&T probably has more money than NASCAR does so I'd be surprised if the intimidation tactics scare AT&T. I can't imagine that NASCAR really wants to end up in a courtroom where their business practices would be exposed. Regardless the court has already ruled twice in AT&T's favor. I think NASCAR/Nextel are pushing a wheebarrow uphill in this matter.

[muggle not]

Dollar for dollar AT&T probably has more money than NASCAR does so I'd be surprised if the intimidation tactics scare AT&T. I can't imagine that NASCAR really wants to end up in a courtroom where their business practices would be exposed. Regardless the court has already ruled twice in AT&T's favor. I think NASCAR/Nextel are pushing a wheebarrow uphill in this matter.
A wheelbarrow full of doo-doo. :)

[luvracin]

I see no actual threat to a sponsor's money. This is all about "Communication" companies. There are only 2 in Nascar Cup as car sponsors. The only real loss that i see would be the opportunity to make "more" money by being a sponsor of Nascar racing.

That said, I hope that Nascar loses their suit. Sponsorship should be open to all.

But couldn't this set a precedent?? There was already rumblings from Sunoco earlier in the year due to Shell sponsoring Harvick.

[muggle not]

But couldn't this set a precedent?? There was already rumblings from Sunoco earlier in the year due to Shell sponsoring Harvick.
I agree, yes it could set a precedent and I really hope that Nascar loses to AT&T. If they can bar one sponsor it opens the gates.

[Sparky1329]

But couldn't this set a precedent?? There was already rumblings from Sunoco earlier in the year due to Shell sponsoring Harvick.

If AT&T is victorious it will set a precedent. A good one IMHO. NASCAR only allows the sponsors it chooses to for one reason or the other. ($$$$) This would open things up and could very well allow team owners - yanno those "independent contractors" - to sign whatever sponsors are willing to pony up the moola. That would probably cut NASCAR out of the moola themselves. And there lies the problem. I know that's a bit simplistic but you get the picture.

[Scuderia ferrari]

This is just making NASCAR look more and more like a staunch, whiny bitch and could possibly drive more sponsors away from the sport.


It is, and that's why other countries don't really want to show Nascar racing

[Sparky1329]

I agree, yes it could set a precedent and I really hope that Nascar loses to AT&T. If they can bar one sponsor it opens the gates.


:D

[trumperZ06]

Dollar for dollar AT&T probably has more money than NASCAR does so I'd be surprised if the intimidation tactics scare AT&T. I can't imagine that NASCAR really wants to end up in a courtroom where their business practices would be exposed. Regardless the court has already ruled twice in AT&T's favor. I think NASCAR/Nextel are pushing a wheebarrow uphill in this matter.

:D Very good Point... that is why I think this lawsuit could be "interesting" !!!

AT & T could sue for "discovery" on current and past sponsorship actions.

;) If NA$CAR is forced to open up their books... it's likely to uncover a can of worms...

Some of NA$CAR's past business dealings with sponsors were boarderline... illegal !!!

[Sparky1329]

:D Very good Point... that is why I think this lawsuit could be "interesting" !!!

AT & T could sue for "discovery" on current and past sponsorship actions.

;) If NA$CAR is forced to open up their books... it's likely to uncover a can of worms...

Some of NA$CAR's past business dealings with sponsors were boarderline... illegal !!!

That's what confuses me the most. Why in the world would NASCAR want to risk having to undergo a thorough review of their business practices? I would think that's the last thing they want.

Meanwhile AT&T re-upped with RCR for another 3 years. This should be interesting for sure.

[BobbyC]

Remember, Sprint's ruling is based on the history of motorsport sponsorships, and the "Parnelli Rule".

(USAC Marlboro Championship Trail competitions of the early 1970's had a Viceroy-sponsored car winning everything in sight, and that wasn't good in light of Marlboro being the series sponsor. Winston and NASCAR had a "Parnelli Rule" established to prevent this from happening there, and so Nextel is just continuing the Parnelli Rule, and also the Grandfather Clause is also being considered here.

[pits4me]

Exclusivity is a nasty thing to enforce when a series embargos teams from securing sponsor revenue from certain industries. AT&T knows all about anti-trust and break-ups. Other NASCAR business practices could also come into play. The last thing NASCAR needs is to have merchandising and licensing side of their business put under a magnifying glass?

[Sparky1329]

Exclusivity is a nasty thing to enforce when a series embargos teams from securing sponsor revenue from certain industries. AT&T knows all about anti-trust and break-ups. Other NASCAR business practices could also come into play. The last thing NASCAR needs is to have merchandising and licensing side of their business put under a magnifying glass?

Exactly.

[Jag_Warrior]

Coming in as a long time fan of American open wheel formula car racing, let me get this straight... you guys sue to get rid of sponsors???!!!

This is kind of like the Chinese kid who saw a food disposal for the first time while visiting America. He calls home and tells his family, "you won't believe how it is here. They actually throw away food!!!"

[Sparky1329]

Coming in as a long time fan of American open wheel formula car racing, let me get this straight... you guys sue to get rid of sponsors???!!!

This is kind of like the Chinese kid who saw a food disposal for the first time while visiting America. He calls home and tells his family, "you won't believe how it is here. They actually throw away food!!!"

"You guys" is NASCAR....not to be confused with ordinary race fans. :D

[trumperZ06]

Coming in as a long time fan of American open wheel formula car racing, let me get this straight... you guys sue to get rid of sponsors???!!!

This is kind of like the Chinese kid who saw a food disposal for the first time while visiting America. He calls home and tells his family, "you won't believe how it is here. They actually throw away food!!!"

;) Jag,

It's really tough to understand... NA$CAR's policies .

For years... they banned hard liquor... then when Crown Royale showed up...

with a BIG CHECK...

they were NOT allowed to sponsor a car...

instead they became an official sponsor for...

bet you can guess the answer...




NASCAR !!!



Oh... Now teams can have hard liquor sponsorships... bet someone threatened a lawsuit...

[BenRoethig]

I agree, yes it could set a precedent and I really hope that Nascar loses to AT&T. If they can bar one sponsor it opens the gates.

If they win, say goodbye to Sponsorship from AT&T, Alltel, Shell, Valvoline, Texaco-Havoline, Quaker State, etc. This is a suite that NASCAR does not want to win.

[Sparky1329]

If they win, say goodbye to Sponsorship from AT&T, Alltel, Shell, Valvoline, Texaco-Havoline, Quaker State, etc. This is a suite that NASCAR does not want to win.


It's just my opinion but I don't think they have much of a chance of winning based on the previous rulings.

[Lee Roy]

Coming in as a long time fan of American open wheel formula car racing, let me get this straight... you guys sue to get rid of sponsors???!!!

This is kind of like the Chinese kid who saw a food disposal for the first time while visiting America. He calls home and tells his family, "you won't believe how it is here. They actually throw away food!!!"

My thoughts exactly. Life is grand.

[ms0362]

Nascar is stupid for trying to give exclusivity to a sponser. You didn't see Winston pulling this kind of crap. 12 million + sponserships are hard enough to come by without this kind of stuff going on.

[harvick#1]

Nascar now Changed there name now to the Sprint Cup. so Nextel survived 3 years :mark:

Nascar went to the crap when they started dealing with Cell Phone companies.

[call_me_andrew]

NASCAR started going downhill when Mike Helton took over. Then Brian France came in to speed up or descent into hell. Common templates and NEXTEL were just nails in the coffin.