IRL: CHAMPCAR/CART: Indianapolis 500 appeal decision report, Part II

Part 2 of 2: Relevant provisions of the "Rule Book" APPENDIX 2002 INDY RACING LEAGUE RULE BOOK: The relevant provisions of the 2002 Indy Racing League Rule Book ("Rule Book") include the following: 1.1 Governance-- A. General -- These...

Part 2 of 2: Relevant provisions of the "Rule Book"

APPENDIX
2002 INDY RACING LEAGUE RULE BOOK:

The relevant provisions of the 2002 Indy Racing League Rule Book ("Rule Book") include the following:

1.1 Governance--

A. General -- These Rules govern the 2002 season and supersede all previous rules, bulletins and supplementary rules and regulations. These Rules shall apply to every Event which the IRL sanctions.

B. IRL Authority -- These rules shall be applied, construed and interpreted by the Officials, and their interpretation shall be final and binding. The IRL reserves the right to revise these Rules at any time. The IRL shall be have the right to authorize and supervise Events of any kind; to make and construe Rules and to render decisions concerning them; --.Any and all actions and decisions which the Officials are authorized and empowered to take under these Rules may be taken, or not taken, by the Officials in their discretion--.

C. Officiating -- The IRL will select Officials for each Event as the IRL deems appropriate. The Officials shall have the discretion and authority to take any and all actions and make any and all determinations which they deem necessary or appropriate during, or in connection with, an Event, including, without limitation, determinations as to whether a Rule violation has occurred--. The Officials shall be the final authority on the content of the official posting of all qualifications results and Race finishes--.

D. Acceptance of Rules -- Every Member who undertakes to organize or to participate in any way in any Event under the sanction of the IRL shall be deemed to have a full understanding of, and to accept, these Rules.

1.4 Event Control--

D. Race Control -- IRL maintains a radio frequency to provide direct communication to the Entrants during on-track activities ("Race Control"). The information includes, but is not limited to, track conditions, yellow-flag (caution) procedure, and black-flag penalties--Each Entrant must have at least two (2) personnel monitor the frequency--Any Entrant failing to monitor the frequency shall be charged with knowledge of the matters discussed on such frequency, and is subject to penalty. Any Entrant or other Member failing to follow the directions of Race Control may be penalized.

1.5 Flag Signals --

Each track contains a caution light system to supplement the red and yellow flags. In addition, an on-board yellow light system is mandatory on all Cars.

7.1 Mandatory Activities --
A. Meetings --

(1) Driver Meetings -- Prior to each Race, the IRL shall conduct one or more meetings of Drivers for the discussion and interpretation of these Rules and any specific Rules applying to that Race--.

7.14 Yellow Flag (Caution) --

The yellow caution period starts with the display of the yellow flag and/or yellow lights and ends with the display of the green flag and/or green lights. Racing ceases immediately upon display of the yellow flag and/or yellow light. The Officials may call a yellow caution period at any time for any reason. Their decision to call, not to call, or to end a yellow caution period may not be protested or appealed. Yellow caution period laps will be scored, unless stated otherwise by the Officials--.During the yellow caution period, no Driver may pass another Car--.

7.17 Race Completion --
B. Checkered Flag --

(1) The white flag will be displayed to the Race leader as the Race leader starts the Race leader's last lap, and will continue to be displayed to each successive Car until the Race leader completes its final lap.

(2) The checkered flag will be displayed to the Race leader as the Race leader completes the Race leader's last lap under momentum created by the Race leader's Car, and will continue to be displayed until each Car running has received the checkered flag.

(3) A Race will be considered completed by the race winner at the moment the checkered flag is displayed or at the moment the scheduled distance is completed by any Car, whichever occurs first, notwithstanding any subsequent situations, actions, or penalties. The Race will be considered completed when, after this moment, each Car still running on the track has had safe and sufficient opportunity to return to the start/finish line. At this time, scoring will cease and the Event is completed. The Officials' decision may not be protested or appealed.

11.2 Right to Protest and Time Limits --

D. Decisions Not Subject to Protest or Appeal -- The following matters, and any others which may be designated as not subject to protest under these Rules, or which involve the exercise of judgment by the Officials during an Event, may not be protested or appealed and the decision of the Officials is final and binding:

(1) Call, not call or end a yellow caution period.

(2) Signal a Driver to pass the pace car during a yellow caution period, whether a proper passing signal was given during a yellow caution period, or whether the pace car or another Car was improperly passed during a yellow caution period.

Notwithstanding the foregoing, the Officials may review decisions regarding any of these areas as they deem appropriate.

XII.
APPEALS

12.1 Initiation of an Appeal - To the extent permitted under these Rules, any Member may appeal a determination by the Vice President, Racing Operations on the imposition of a penalty or on a protest. A Member may not appeal the decision to impose, or not impose, a black flag, disqualification, or other penalty imposed during an Event. An appeal may be initiated by submitting the following to the Chief Executive Officer by 5 p.m. E.S.T. of the Fifth (5th) business day following the release of the penalty notice or protest decision:

A. Written Notice of Appeal - The notice of appeal must contain reference to the specific action by the IRL from which an appeal is taken, the date of the occurrence, the reasons for the appeal, and specific reference to any Rules allegedly violated and the relief requested. The notice of appeal must be accompanied by copies of all written documents pertaining to the appeal, such as protests, responses, rulings, announcements, etc. The notice of appeal must clearly and explicitly state the basis of the appeal.

B. Appeal Fee - The appeal fee shall be Two Thousand Five Hundred Dollars ($2,500). The appeal fee is in addition to any monetary penalty previously assessed.

C. Where more than one Member of the same Entrant is involved in the same violation of the Rules, the Chief Executive Officer may at his discretion allow one written notice of appeal and appeal fee to cover all such Members. In order to not lose any rights an Entrant may have, a request under this Rule 12.1 C. should be made and approved by the Chief Executive Officer within the five (5) day period.

12.2 Jurisdiction - The Chief Executive Officer shall have the exclusive jurisdiction to resolve all appeals. Notwithstanding the foregoing, the Chief Executive Officer shall have the right, in his discretion, to select an individual to resolve an appeal with all of the powers and responsibilities of the Chief Executive Officer set forth in this Rule XII. The jurisdiction of the Chief Executive Officer is limited to those matters and issues submitted to the Chief Executive Officer by the appellant. The decision which is the subject of the appeal shall not be stayed pending the appeal unless otherwise determined by the Chief Executive Officer and upon such terms as the Chief Executive Officer deems appropriate.

12.3 Advisory Committee - The Chief Executive Officer may select an advisory committee to assist in making a determination on an appeal. The members of the committee shall consist of individuals involved with automobile racing, but who do not have a financial interest in the outcome of the appeal. The advisory committee may make a recommendation as to the disposition of the appeal, but any determination is in the discretion of the Chief Executive Officer.

12.4 Hearing of the Appeal - The Chief Executive Officer may cause an investigation to be made into the matters surrounding the appeal and shall convene a hearing within thirty (30) days of receipt of the appeal unless the hearing date is extended by the mutual agreement of the Chief Executive Officer and the appellant. The appellant and any Members requesting an opportunity to participate in the proceeding and which the Chief Executive Officer determines to have a material interest in the proceeding shall be given notice of the hearing and shall be entitled to be heard and call witnesses. The effect on championship point standings does not constitute a "material interest". In the Chief Executive Officer's discretion, he may permit a Member to be represented by counsel.

12.5 Conduct of the Appeal Hearing - The hearing will be conducted according to the following procedures:

A. The hearing is not open to the public and admittance to the hearing is at the discretion of the Chief Executive Officer. The Chief Executive Officer shall conduct the hearing in an informal manner.

B. The Chief Executive Officer shall enumerate the parties and other necessary participants in the proceedings. The Chief Executive Officer may summon any Member to testify at the hearing.

C. The Chief Executive Officer shall exclude from the hearing room or from further participation in the proceedings any person who engages in improper conduct in relation to the hearing.

D. The Chief Executive Officer shall not be limited to the technical common law rules of evidence required in judicial proceedings but shall be satisfied the evidence submitted is of a type on which the Chief Executive Officer can rely. The Chief Executive Officer may exclude irrelevant, immaterial or unduly repetitious evidence.

E. All parties to the proceedings shall be permitted to present and cross-examine witnesses and to submit evidence, both oral and documentary. The burden of proof shall remain at all times on the appellant.

F. The Chief Executive Officer shall consider only evidence introduced during the hearing and there shall be no transcript of the hearing unless the Chief Executive Officer determines otherwise.

G. The Chief Executive Officer shall not consider matters not assigned as error in the original protest or matters outside the scope of the submission by the appellant.

12.6 Structure of the Appeal Hearing - The Chief Executive Officer shall conduct the hearing in the following manner. Prior to opening statements or the submission of proof by the appellant, the Chief Executive Officer may request that the Vice President, Racing Operations submit an explanation of the basis of his decision, along with whatever witnesses the Chief Executive Officer deems appropriate.

A. Opening Statements - The parties to the proceedings will be permitted to make opening statements, with the appellant making the first opening statement. Each party shall state the issue(s) before the Chief Executive Officer and a brief summary of the position of the party with respect to such issue(s).

B. Order of Proof - The evidence shall be received by the Chief Executive Officer in the following order:

(1) The appellant shall first submit and present evidence in support of the appeal. Upon the completion of direct examination, each witness shall be subject to cross-examination by the other parties and by the Chief Executive Officer.

(2) The other parties shall then be permitted to present evidence, and any witnesses presented shall be subject to cross-examination by the appellant, by other parties, and by the Chief Executive Officer.

C. Closing Arguments - Upon completion of the evidentiary portion of the hearing, all parties, beginning with the appellant, may make closing arguments.

12.7 Powers of the Chief Executive Officer - The Chief Executive Officer shall have the following powers:

A. To call, examine and cross-examine witnesses; to receive and rule upon relevant evidence; to regulate the course of the hearing and, if appropriate or necessary, to exclude persons or counsel for contemptuous conduct and to strike and disregard all testimony of witnesses refusing to answer proper questions; to dispose of procedural requests, motions or similar matters; to dismiss appeals or portions thereof; to require a party at any time to state its position concerning any issue in the appeal or its theory in support thereof; and to pronounce a just remedy within these Rules for the penalty, result or circumstance at issue.

B. To require the appellant to post an adequate bond to cover the costs of the appeal or any reasonable foreseeable economic harm to the IRL or other Members that might be caused by the appeal. If the Chief Executive Officer requires a bond, its form and substance shall be in the discretion of the Chief Executive Officer.

C. To order the appellant against whom a final decision is rendered to pay all costs and expenses, including attorneys' fees, incurred by the IRL and the other parties if the Chief Executive Officer determines the appeal was frivolous; or to order the return of the appeal fee if the Chief Executive Officer determines such action to be appropriate.

D. To take any other action deemed appropriate for a just and expeditious conclusion of the hearing.

12.8 Determination of the Appeal -- There is no deadline for the issuance of a decision by the Chief Executive Officer. The time frame will depend upon the nature of the appeal. It is anticipated that a decision will normally be issued within thirty (30) days.

12.9 Appeal Procedure Final - Decisions of the Officials on the interpretation of these Rules, scoring of positions and penalties shall be final and binding unless such decisions and penalties may be protested and/or appealed under these Rules, are protested and appealed within the time limitations and other procedures prescribed by these Rules, and such protests or appeals are pending. Any unappealed protest decision by the Vice President, Racing Operations or any appeal decision by the Chief Executive Officer on these or any other matters shall be final and binding. No court action of any kind may be taken. Any Member participating in an Event waives any rights such Member may otherwise have to be a party or to take any action in court seeking legal or equitable relief against any decision or action of any kind by the IRL or any Officials, and each Member acknowledges that participation in an Event by other Entrants, Drivers and Members is in part in reliance on this waiver. A Member's exclusive right to contest a decision or these Rules is within the protest and appeal procedure of the IRL, and any decision reached within this procedure is final and binding. If a Member initiates or participates in litigation in violation of the Rules, the Member agrees to reimburse the IRL and all of its affiliates for all costs of litigation, including travel expenses and attorneys' fees, and all membership privileges shall thereupon be suspended. The foregoing also applies if a Member initiates or participates in litigation unrelated to the administration of the Rules and the Member names the IRL as a party in the lawsuit and the IRL prevails, or the Member requests or compels the IRL's participation in a manner other than as a party to the lawsuit.

12.10 Compliance With Procedures - Any appeal which fails to comply with any of the foregoing requirements may be dismissed and disregarded. Any error not specifically raised in the protest or in appeal shall be deemed to have been waived.

12.11 Governing Law and Jurisdiction -- These Rules shall be governed by and construed in accordance with the laws of the State of Indiana, including its choice of law provisions, and the Members submit to exclusive jurisdiction in Indianapolis, Indiana for any administrative or judicial proceedings. If any litigation involving a Member and the IRL is not dismissed pursuant to Rule 12.9, the Member agrees that the matter will be tried before a judge of competent jurisdiction and the Member hereby waives any right to trial by jury in such action.

INDY RACING LEAGUE 2002 HANDBOOK:

The relevant provisions of the Indy Racing League 2002 Handbook include the following:

GENERAL INFORMATION
This Handbook contains policies and procedures for all 2002 Indy Racing League Events. The Handbook supplements the 2002 Indy Racing League Official Rule Book.

RACE PROCEDURES AND OPERATIONS

Race Control Radio Frequency
The IRL requires that each Car have at least two (2) representatives who monitor the Race Control frequency (Rule 1.4(D), P.15). This must include each Car's spotter and a crew member who is located in the Entrant's assigned pit. The IRL will relay information via this channel directly to all Entrants through both group and individual instructions. The actual operations of the Event will take place over this frequency, as Race Control will be directing Entrants, pit tech officials, the pace car driver, and the Starter. . . Any Entrant or other Member who does not monitor the frequency will be held responsible for all matters discussed on such frequency, and is subject to penalty. Any Entrant failing to follow the directions of Race Control may be penalized.

2002 Entrant's License and Membership Application:
In order to participate in an Indy Racing League event as an Entrant, the race team must hold an IRL Entrant License. To obtain a license, a race team must submit a license application, and receive approval of its application from the IRL. Team Green and Penske Racing each submitted its 2002 Entrant's License and Membership Application, which was approved by the IRL. The License states in relevant part:

"Entrant acknowledges that Entrant has been provided with a copy of the 2002 Racing League Rule Book ("Rules") which is incorporated herein by reference, Entrant is familiar with the Rules, and Entrant agrees to abide by the Rules."

Official Indy Racing League Entry, Eighty-Sixth Annual International Sweepstakes Indianapolis 500 Mile Race:
In order to participate in any specific IRL event, the Entrant must submit an Entry for such event, and receive approval of its Entry. Team Green and Penske Racing each submitted its Official Indy Racing League Entry for the Eighty-Sixth Annual International Sweepstakes Indianapolis 500 Mile Race, which was approved by the IRL. The Entry states in relevant part:

10. "Rules and Regulations. Entrant understands and agrees that the 2002 Indy Racing League Rule Book, including all supplemental rules and regulations published by IRL for this Event ("Rules"), are incorporated by reference into this Entry and shall be considered a part of this Entry, and Entrant agrees to be bound thereby and by all decisions by IRL interpreting and applying the Rules. Entrant acknowledges that IRL and the Event Promoter have reserved and have the right to place additional rules and regulations into effect if, in the sole and absolute discretion of IRL and/or the Event Promoter, such additional rules and regulations become desirable. . . ."

12. "Covenant Not To Sue. Entrant, for itself and for Entrant Participants, covenants and agrees not to sue IRL, the Event Promoter, ACCUS-FIA, FIA, Indianapolis Motor Speedway Corporation, Indianapolis Motor Speedway, LLC, Race Participants, and their officers, members, agents, employees, representatives, and affiliates ("IRL Group") for any claim or liability arising from: (1) any alleged breach of contract; . . . or (3) any controversy that in any way involves interpretation or any application of the Rules, including an IRL ruling on a protest or appeal. Entrant also agrees that its only recourse with regard to the Rules is within the protest and appeal procedures of the Rules, and any decision of IRL is final. Entrant specifically agrees that this Covenant not to sue includes an equitable action to enjoin the Event or any activity associated with the Event."

-irl-

Team Green, Inc. Appeal Decision Part I

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Series IndyCar
Teams Team Penske