Claire Formosa

Fairgrounds Speedway Nashville

Nashville Fairgrounds promoters respond to claims of contract breach

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Last week Claire Formosa, the VP of Fairgrounds Speedway Nashville, and a lawyer representing Formosa Productions pushed back against allegations made by the Nashville Board of Fair Commissioners that the company had breached its contract to run the track.

On April 8, the Fair Board commission sent a letter to the Formosas informing them that it was exercising a breach clause in their contract over two items: the track breaking its designated curfew of 7 p.m. on a school night and unpaid concessions commission of $31,930 from last year.

A third issue had been resolved regarding late office rent payments for the first three months of the year.

The claims by the commission come as the Formosas and Speedway Motorsports, Inc. face obstacles in their attempts to bring NASCAR back to the short track.

“To suggest that Formosa Productions breached its contract … that’s a serious allegation and I don’t believe that’s well-founded,” said Jim Roberts, the Formosa’s attorney, during the monthly Fair Board meeting on April 16.

Roberts observed that the language of the contract does not state when the concession payments are due.

“So I would submit that it’s impossible to be in breach of a contract when there are no payment schedules to find,” Roberts said.

Roberts argued concession payments would not be due until the end of the contract on March 23, 2023.

“That’s not how things are normally done, but let’s just be honest, that’s what the contract as drafted says,” Roberts said. Roberts also claimed the Formosas were not aware the concessions payments were part of the contract and that they’d never received an invoice.

“There’s been no invoicing, I think the board needs to be aware of that, no invoicing of these concessions until last week,” Roberts said, who added the Formosas asked for the invoices and received them on April 9, but that the provided invoices totaled $28,430 and not the $31,930 referenced in the April 8 letter.

The Fair Board’s letter alleged that the track broke its 7 p.m. curfew on March 27 when Kyle Busch took part in a test session for the All-America 400.

The Board claimed this violation came after a verbal warning for curfew violation on May 10 of last year. Roberts said the Formosas have no idea what event was held on that date to warrant the warning.

Regarding Busch’s test date, Roberts claimed the Formosas understood that if they received permission from the principal of a nearby school and the neighborhood association, there would be “no objection or problem” with a late track running time.

Roberts said they have a letter from the principal and the permission from the neighborhood association allowing the test.

Formosa said she had gone to the March neighborhood association meeting and was told she was cleared to go ahead with a late track rental, as long as she had the support of the school principal in the area.

Board member Jason Bergeron mentioned a series of emails from before March 27 where Formosa was told by Executive Director Laura Womack that they’d still be limited by the curfew and he noted that the principal’s permission was not part of the contract.

“She let me know and I told her ‘OK’,” Formosa said. “It was a complete miscommunication between myself and my office staff.”

With the test going beyond 8 p.m., Formosa, who was not on site, traveled to the track and shut it down by 8:17. p.m.

Bergeron said he’s heard from people in the neighborhood “that they don’t feel like they can count on that 7 o’clock curfew” when it comes to track rentals.

Formosa objected to this assertion.

“We have these monthly neighborhood meetings for this very reason,” Formosa said. “I can tell you that I never heard an issue raised by either one of the neighborhood associations. If there were issues raised, this is certainty the first time I’m hearing about them.”

Fairgrounds Speedway faces setback with cancellation of All American 400

Fairground Speedway Nashville
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Fairgrounds Speedway Nashville, a possible site for future NASCAR national series races, announced Wednesday that it has canceled Sunday’s 34th All American 400 Super Late Model race because of impending rain.

Kyle Busch was scheduled to compete in the event, which is among the top Super Late Model races in the country.

The cancellation comes a day after The Tennessean reported that the track’s operator breached its contract with Nashville Fairgrounds.

Last week, The Tennessean reported that financing to upgrade the .596-mile racing facility and other matters have led to questions about the viability of bringing a national series NASCAR race back to Nashville.

Bristol Motor Speedway and the track’s operator entered into an agreement in December to try to bring NASCAR national series events to the track.

Dale Earnhardt Jr. asked NASCAR President Steve Phelps on the Dale Jr. Download about a national series race returning to Nashville.

“Are we going to be racing in Nashville or not? I don’t know,” Phelps said. “I know that at least I’ve been told, (Speedway Motorsports, Inc. CEO) Marcus (Smith) has had discussions with the folks in Nashville at the fairgrounds. How likely is that going to happen? Right now he has no sanctioning agreement for 2021, so he can’t bring anything there. If he wants to bring something there, obviously NASCAR has to have an involvement. They are our dates. We will absolutely (get involved) when it’s time.”

The All American 400 Super Late Model race was set to run last fall before it was postponed by rain and rescheduled for this weekend. Sunday’s forecast for Nashville, Tennessee, calls for a 100 percent chance of rain, according to wunderground.com

“The forecast is awful for this weekend and we don’t want the racers and fans to have to spend the money in travel costs to come here for nothing,” said Claire Formosa, VP of Fairgrounds Speedway Nashville, on the track’s Facebook page. “Many of the drivers were coming from a long way, so we wanted to do this early to help them out. We are now going to focus on our regular season opener next Saturday and get prepared for the 35th All American 400 this year.”

The All American 400 is scheduled for Nov. 3, 2019.

This decision comes after questions about certain actions by the track promoters.

The Tennessean reported this week that Laura Womack, Nashville Fairgrounds director, notified track operators Tony and Claire Formosa in a letter that they have 30 days to remedy issues.

According to the newspaper’s report, Womack said that the Formosas:

# Failed to pay rent on time.

# Owe $31,930 from concessions revenue from the 2018 season.

# Violated track rental curfew on March 27.

The Tennessean reported that the track’s rent for January to March was paid April 4.

Womack requested that the Formosas appear at the Fair Board meeting April 16 to address the matters.

Claire Formosa told the Tennessean that “there are some things that we are aware of that we have taken care of, like the office rent. The other two things … there is a lot more to it than what is being stated in the letter.”