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DATE News (chronologically)
07/27/11
nascar
Judge dismisses fuel additive company lawsuit against NASCAR  A U.S. District Court judge has dismissed a lawsuit by a fuel and oil performance additive company against NASCAR concerning a $6.295 million deal.

Advanced Fluids Solutions, which wanted to market its new EXP4 fuel and oil performance additive through the “NASCAR Performance” program, had agreed to pay the amount during a period of seven years, beginning in 2010.

According to the complaint, the company never paid its original $500,000 payment due at the execution of the contract in October 2009 but alleged that NASCAR did not give proper written notice before terminating the agreement in December 2009.

U.S. District Court Judge Anne Conway ruled that NASCAR was within its right to terminate the contract and dismissed the suit Tuesday. The suit was filed in Florida court before being moved to federal court in January 2011.

“The undisputed fact that AFS failed to timely tender payment upon execution of the agreement is fatal to its claim,” the Orlando-based judge wrote in her opinion.

The contract was a lucrative one for NASCAR as Advanced Fluids sought to join more than 35 automotive companies that have deals with NASCAR to use NASCAR logos on their products.

According to the contract, filed as an exhibit to the lawsuit, Advanced Fluids would pay $500,000 when the agreement was signed for the remainder of 2009, then $750,000 in 2010, $785,000 in 2011, $800,000 in 2012, $830,000 in 2013, $850,000 in 2014, $880,000 in 2015 and $900,000 in 2016. The final four years (2013-2016) were part of an option, with either side able to opt out by giving notice no later than Dec. 31, 2011.

The Advanced Fluids arrangement would have placed the company among the NASCAR Automotive Group’s NASCAR Performance sponsors.

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