NASCAR wants Kentucky Speedway Trial moved to Florida
Beth Musgrave, Kentucky Herald Leader
A federal judge should decide soon whether to transfer Kentucky Speedway's $400 million antitrust case against NASCAR to a Florida federal court.
U.S. District Judge William Bertelsman heard oral arguments from both sides yesterday in U.S. District Court in Covington.
NASCAR, which filed the motion to change the venue, argues that the Gallatin County racetrack agreed to litigate all disputes in the U.S. Middle District of Florida when it signed 11 different contracts with the Florida organization from 1999 to 2005.
Kentucky Speedway, however, argues that the consequences of NASCAR's alleged antitrust activity directly affect Kentucky Speedway and the Commonwealth of Kentucky, which has also spent money on infrastructure near the park. The case should remain in the Eastern District of Kentucky because the preference of the plaintiffs should have more weight than the choice of the defendants, said Arthur Miller, a Harvard law professor and one of Kentucky Speedway's lawyers.
Kentucky Speedway sued NASCAR and International Speedway Corp. in July, alleging the company kept the Kentucky track from getting a lucrative Nextel Cup race.
The lawsuit alleges that NASCAR and International Speedway are controlled by members of the France family, whose patriarch, Bill France, started NASCAR. Tracks affiliated with ISC host 20 of 38 Nextel Cup series events.
The speedway is asking for $400 million in damages and wants NASCAR to establish a competitive bidding process for Nextel Cup events.
Kentucky Speedway, a $150 million-plus track, opened in 2000 in Sparta in Gallatin County. It hosts two NASCAR-sanctioned races, one in the Craftsman Truck Series and one in the Busch Series.
Lawyers for NASCAR have countered that the speedway has failed to show that NASCAR and ISC violated anti-trust laws. Lawyers for ISC argue that the speedway is too young and inexperienced to promote a Nextel Cup race. The allegations against ISC are "thinly concealed expressions of bitterness against a more successful promoter" that has been in the business of promoting NASCAR-sanctioned stock car races since 1953, the ISC's motion to dismiss said.
NASCAR officials also told owners of Kentucky Speedway when it was built that it would never receive a Nextel Cup Race, which would draw bigger crowds and more cash than Craftsman and Busch Series races.
Bertelsman said yesterday that he hopes to have a written decision to the parties soon. NASCAR and ISC have also asked a federal judge to dismiss the speedway's case against them. That motion will not be decided until the issue of venue is ruled on.
Beth Musgrave, Kentucky Herald Leader
A federal judge should decide soon whether to transfer Kentucky Speedway's $400 million antitrust case against NASCAR to a Florida federal court.
U.S. District Judge William Bertelsman heard oral arguments from both sides yesterday in U.S. District Court in Covington.
NASCAR, which filed the motion to change the venue, argues that the Gallatin County racetrack agreed to litigate all disputes in the U.S. Middle District of Florida when it signed 11 different contracts with the Florida organization from 1999 to 2005.
Kentucky Speedway, however, argues that the consequences of NASCAR's alleged antitrust activity directly affect Kentucky Speedway and the Commonwealth of Kentucky, which has also spent money on infrastructure near the park. The case should remain in the Eastern District of Kentucky because the preference of the plaintiffs should have more weight than the choice of the defendants, said Arthur Miller, a Harvard law professor and one of Kentucky Speedway's lawyers.
Kentucky Speedway sued NASCAR and International Speedway Corp. in July, alleging the company kept the Kentucky track from getting a lucrative Nextel Cup race.
The lawsuit alleges that NASCAR and International Speedway are controlled by members of the France family, whose patriarch, Bill France, started NASCAR. Tracks affiliated with ISC host 20 of 38 Nextel Cup series events.
The speedway is asking for $400 million in damages and wants NASCAR to establish a competitive bidding process for Nextel Cup events.
Kentucky Speedway, a $150 million-plus track, opened in 2000 in Sparta in Gallatin County. It hosts two NASCAR-sanctioned races, one in the Craftsman Truck Series and one in the Busch Series.
Lawyers for NASCAR have countered that the speedway has failed to show that NASCAR and ISC violated anti-trust laws. Lawyers for ISC argue that the speedway is too young and inexperienced to promote a Nextel Cup race. The allegations against ISC are "thinly concealed expressions of bitterness against a more successful promoter" that has been in the business of promoting NASCAR-sanctioned stock car races since 1953, the ISC's motion to dismiss said.
NASCAR officials also told owners of Kentucky Speedway when it was built that it would never receive a Nextel Cup Race, which would draw bigger crowds and more cash than Craftsman and Busch Series races.
Bertelsman said yesterday that he hopes to have a written decision to the parties soon. NASCAR and ISC have also asked a federal judge to dismiss the speedway's case against them. That motion will not be decided until the issue of venue is ruled on.