NASCAR and Hooters. Honestly, it’s hard to think of a duo that felt more like a Sunday afternoon staple. For years, you couldn't watch a Cup Series race without seeing those bright orange colors somewhere on the track. But then things got messy. The Hooters Hendrick Motorsports sponsorship lawsuit didn't just end a partnership; it signaled the end of an era for the No. 9 car and Chase Elliott.
Business is business, especially in the high-stakes world of racing. When the money stops flowing, the logos come off. It’s that simple.
The $1.7 Million Disappearing Act
Back in July 2024, Hendrick Motorsports (HMS) made it official. They were cutting ties with Hooters. Why? Because the checks basically stopped coming. According to the legal complaint filed in Mecklenburg County, the deal for 2024 was worth a cool $1.75 million.
The payment schedule was supposed to be straightforward: four installments of $437,500 due in March, June, August, and October.
But Hooters only managed to scrape together $45,000 for that first March payment. After that? Crickets. No June check. No solution. Hendrick isn't a charity, and running a championship-caliber team like Chase Elliott's requires every cent of that sponsorship capital.
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Why Hooters Walked Away (Or Was Forced Out)
You’ve probably noticed your local Hooters might have vanished recently. It’s not just you. The chain has been struggling hard, closing around 44 locations across the country in 2024 alone.
Labor costs are up. Food costs are through the roof. The "breastaurant" model is facing stiff competition from brands like Twin Peaks, which actually saw double-digit growth while Hooters was shrinking. By the time HMS filed the Hooters Hendrick Motorsports sponsorship lawsuit, the restaurant chain was reportedly dealing with $300 million in debt.
When you owe $300 million, a NASCAR hood logo starts looking like a luxury you can’t afford.
The Settlement: Settling for Pennies?
In March 2025, we finally got a resolution. Hendrick Motorsports originally sued for the full $1.7 million plus interest. They didn't get it.
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The two sides settled for $900,000.
Now, $900k is a lot of money to you and me, but in the world of Rick Hendrick, it’s a bit of a haircut. It’s basically 50 cents on the dollar. But honestly, it makes sense. With Hooters teetering on the edge of bankruptcy, Hendrick likely realized that getting something now was better than getting nothing later in a long, drawn-out bankruptcy court battle.
A 30-Year History Down the Drain
The real tragedy here isn't just the unpaid invoice. It’s the history. Hooters wasn't some new "crypto" sponsor that showed up yesterday and disappeared today. They were legendary.
- The Alan Kulwicki Era: Hooters backed the "Underbird" in 1992, helping him win one of the most iconic championships in history.
- The Tragedy: The 1993 plane crash that killed Kulwicki and Hooters executives is still one of the darkest days in the sport.
- The Elliott Years: They joined Hendrick in 2017. They were there for Chase’s rise to become the sport's Most Popular Driver.
Seeing that partnership die in a courtroom over a missed payment schedule is just... depressing.
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What Happens to Chase Elliott Now?
Fans were worried. If Hooters leaves, who fills that void? Luckily, Chase Elliott is the golden boy of NASCAR. Sponsors like NAPA Auto Parts, LLumar, and UniFirst are still locked in.
And then there’s the new blood. In 2025 and 2026, we’ve seen brands like Coca-Cola and others step up their involvement. Hendrick is a powerhouse; they don't leave their cars blank for long. While the orange-and-white No. 9 was a fan favorite, the team has moved on to bigger (and more solvent) fish.
Actionable Insights for Fans and Investors
If you're following the fallout of the Hooters Hendrick Motorsports sponsorship lawsuit, here is what you need to keep in mind:
- Watch the Debt: If you’re tracking Hooters’ future, keep an eye on their Chapter 11 status. The $900k settlement was a "get out while you can" move by Hendrick.
- Sponsorship Trends: Notice how "legacy" sponsors are being replaced by tech and service brands. NASCAR’s economy is shifting away from casual dining.
- Merch Alert: If you have Hooters/Chase Elliott gear, hold onto it. It’s officially a "throwback" now. Those die-casts from the 2024 Texas win—where Chase actually won in the Hooters car—are likely to become collector's items.
The lesson here is simple: even the most iconic partnerships aren't immune to a bad balance sheet. Hendrick did what they had to do to protect the No. 9 team’s competitive edge. Hooters is still fighting for its life as a brand, but their time in the winner's circle is, for now, officially over.