Kyle Busch Motorsports is suing former driver Justin Boston and Zloop, a company owned by Boston’ father, Bob, according to a report by ESPN.
The lawsuit concerns the failure by Boston and Zloop to provide $650,000 in payments of a $3.2 million annual agreement that allowed Boston to drive in the Camping World Truck Series for KBM. Boston has competed in 10 series races the last two years. All nine of his KBM starts in the No. 54 Toyota were in 2015, with his last being the June race at Iowa Speedway.
ESPN says the lawsuit was filed Friday in North Carolina Superior Court in Iredell County and that KBM claims it is owed $4.025 million for the alleged default on the contract.
The contract was for two years at $6.4 million. With 23 races on the Truck schedule, 46 races over two seasons would equal Boston paying KBM $139,130 a race.
The report also indicated it might be difficult for the KBM to receive the payments from Zloop, a computer recycling company co-founded by Bob Boston. The company filed for Chapter 11 bankruptcy in early August. The elder Boston is embroiled in another lawsuit – for $28 million – by a former Zloop investor claiming Boston “lied to him about the value of Zloop and did not use his investment as intended, including spending money on Justin’s racing career as part of a Zloop marketing program.”
KBM’s claims against Zloop will be processed in Delware bankruptcy court and those against Justin Boston will play out in North Carolina.
ESPN reports Zloop also owes money to Bristol Motor Speedway ($131,250), Kentucky Speedway ($75,000), Pocono Raceway ($36,601) and the NFL’s Carolina Panthers ($87,000).