Alltel to challenge NASCAR for more leeway

Communications giant AT&T’s victory in its lawsuit against NASCAR that allowed the company to change the branding on its car could reportedly spark similar moves from wireless brand Alltel.

A court ruling this weekend allowed AT&T to rebrand the No. 31 Richard Childress Racing Chevrolet and refused NASCAR’s defense that it was protecting the rights of series sponsor, mobile phone company Nextel which agreed a high degree of marketing control to sponsor the Cup series.

Now Alltel is also reportedly thinking about challenging the restrictions placed on its NASCAR team sponsorship. Because it is a wireless company that competes directly against Sprint Nextel, Alltel can't set up interactive displays, can't title sponsor a race and is effectively limited to branding its mark on driver Ryan Newman and its car.

Sprint Nextel has said that the ruling diminishes its exclusivity in the sport.

Alltel said it had always been very respectful of Nextel's rights, but now wanted clarification and a better understanding of how far-reaching those rights are.