A fallout was eerily imminent following last year’s contentious charter dispute between NASCAR and two of its Cup Series teams, especially once salacious internal details surfaced during the legal process. What few could have predicted, however, was the timing of when the reckoning would arrive.
Just days into the new year, NASCAR finds itself at an unexpected leadership crossroads following the abrupt resignation of commissioner Steve Phelps.
After more than two decades with the sanctioning body and barely a season into his tenure as NASCAR commissioner, Phelps’ unplanned exit has thrown the sport’s long-rumored succession plan into uncertainty, accelerating questions about who will ultimately guide NASCAR into its next era.
Steve Phelps’ Sudden NASCAR Departure Sparks Leadership Questions
Phelps stepped down in the aftermath of NASCAR’s federal antitrust trial, where damaging internal text messages were revealed during discovery. The fallout was swift. Although Charlotte settled the lawsuit with 23XI Racing and Front Row Motorsports late last year, the exposure of inflammatory remarks, particularly those directed at Hall of Fame team owner Richard Childress, proved untenable.
As per credible sources, Phelps will depart at the end of the month, just ahead of the season-opening Clash exhibition race. “As a lifelong race fan, it gives me immense pride to have served as NASCAR’s first Commissioner and to lead our great sport through so many incredible challenges, opportunities and firsts over my 20 years,” the 63-year-old said in a statement.
Phelps said he plans to pursue opportunities beyond NASCAR, both within sports and in other industries, while expressing gratitude to the colleagues, friends, and fans who have supported and motivated him throughout his career.
He also acknowledged the France family, NASCAR’s founders and owners, for bringing him over from the NFL more than 20 years ago and elevating him to a leadership role that carried significant financial upside, including the potential for multimillion-dollar annual compensation.
What makes the timing especially disruptive is that the sanctioning body appeared to be in the middle of a leadership transition by design. Phelps had only recently been elevated from president to commissioner, with Steve O’Donnell sliding into the president’s role beneath him.
That move suggested long-term continuity at the top, one that would allow the stock car racing giant to navigate charter negotiations, media rights, and evolving fan engagement with minimal turbulence. Instead, the sport now finds itself recalibrating on the fly.
In the immediate term, NASCAR has made clear there is no rush to name a new commissioner. Phelps’ responsibilities will be absorbed internally through O’Donnell and the executive leadership team.
However, that reality alone has fueled speculation that O’Donnell could eventually assume the commissioner role permanently. A longtime NASCAR executive with deep operational experience, O’Donnell has been closely involved in competition matters, scheduling innovations, and the contentious charter discussions with teams.
On a broader note, he represents stability and institutional knowledge, qualities the France family may value amid lingering legal and political sensitivities. That said, another name quietly hovering over the conversation is Ben Kennedy.
Another name quietly hovering over the conversation is Ben Kennedy, the great-grandson of NASCAR founder Bill France Sr. and the son of Executive Vice Chair Lesa France Kennedy.
As NASCAR’s senior vice president of racing development and strategy, Kennedy has steadily expanded his influence, playing a central role in initiatives such as the Chicago Street Race, schedule experimentation, and the sport’s broader international ambitions.
Widely viewed within the industry as a long-term leadership figure, Kennedy represents the continuity of the France family’s vision while also embodying the sport’s push toward modernization.
Phelps helped modernize NASCAR’s schedule, secure long-term media deals, expand the sport’s global footprint, and guide it through the COVID-19 shutdown. At the same time, his tenure was marked by some of the most vocal fan backlash and disruptive controversies in recent memory.
His departure ultimately underscores how fragile leadership can become when trust erodes behind closed doors. Now, Charlotte must decide whether its next commissioner is a seasoned executive in O’Donnell, a generational torchbearer in Kennedy, or someone else entirely.
