Legacy Motor Club and Rick Ware Racing have settled their ongoing lawsuit centered on LMC attempting to purchase a charter held by RWR, with RWR agreeing to sell LMC a charter.

The NASCAR Cup Series teams jointly announced the resolution on Friday. Specific terms were not disclosed.

LMC and RWR signed a contract in March for LMC to purchase one of two charters RWR owns, LMC stated in its lawsuit, only for RWR to later back out of the deal. LMC, owned by seven-time Cup champion and NASCAR Hall of Famer Jimmie Johnson, then filed a lawsuit alleging breach of contract. A team that holds one of 36 available charters is assured a significantly higher percentage of revenue and entry into every points race, including the marquee Daytona 500.

Terms of the settlement were not disclosed. The case was scheduled to go to trial in January 2026.

"Reaching a positive outcome was important for everyone involved," Johnson said in a statement. "I truly respect the effort put forth by Robby Benton (RWR president) and Rick Ware (team owner) to reach a settlement so we may all focus on our business operations and future goals. I'm glad this is behind us and we can all move forward in unison."

RWR owns two charters, one it operates itself and the other leased to RFK Racing as part of a multi-year agreement.

How RWR will proceed is unknown. Depending on the terms of the settlement with LMC, RWR may not have a charter for the 2026 season, though it still could purchase or lease one. RWR could also race as an "open" team, but due to the decreased revenue associated with not owning a charter, this path is considered financially unfeasible.

"I met with both Jimmie and Cal Wells (LMC president) recently, and we came to an agreement to sell and transfer a charter from RWR to Legacy Motor Club," Ware said in a statement. "I believe we landed in a mutually beneficial place for both teams, and the result will be a clear path forward for us all. I look forward to putting all of our focus on finishing the 2025 season strong."

LMC is seeking to expand from two full-time cars to three for the 2026, but the timing of settling the lawsuit may preclude it from expanding for next season. The team could lease its newly acquired charter to a team for next season, with that charter then returning to LMC for the 2027 season.

Rick Ware Racing, Legacy Motor Club settle lawsuit; RWR to sell charter to LMC