CONCORD, N.C. — A judge will have to sort out the ongoing saga of the American Speed Ass’n.
On Dec. 3, Racing Speed Associates, which recently purchased the ASA sanctioning body and series, filed suit in the U.S. District Court for the Northern District of Illinois against Louis R. Varney, Jr. and his ASA Late Model Series, seeking to invalidate and cancel the ASA Late Model Series trademark registration. The lawsuit alleges Varney illegally acquired the trademark registration by claiming ownership, and that Varney has only been granted a license from its owner to use the trademark.
Racing Speed Associates and Managing Member Dennis Huth said Varney has attempted to stymie Racing Speed Associates’s plan to revitalize the ASA.
“This lawsuit was necessitated when Mr. Varney started a campaign of misinformation about Racing Speed Associates rights of ownership to the ASA Racing name and ASA family of trademarks by threatening track operators with lawsuits if they did business with us. It’s  unfortunate, but we were forced to take action in order to protect our name and business reputation.”
Varney said he will fight the suit and file a countersuit against Racing Speed Associates and Huth.
“It is unfortunate that Mr. Huth decided to air his dirty laundry in public, which has made me respond in kind to his actions,” said Varney. “We (at the) ASA Late Model Series feel Mr. Huth’s lawsuit is frivolous and without merit.
“We fully expect to win in court and also counter sue Mr. Huth for damages caused by his reckless and slanderous allegations.”
Huth claims that his organization purchased the rights to the ASA group of trademarks, including the American Speed Ass’n, ASA Racing and ASA Late Model Series from former ASA owner Steve Dale, and that Varney is portraying himself as owner of the ASA Late Model Series when he only has license to use the ASA Late Model trademark.
“We tried to avoid litigation, but Mr. Varney, by ignoring our requests to stop his activities, (he) left us no choice,” said Racing Speed Associates attorney William L. Niro. “You cannot permit a licensee of a trademark to claim ownership in the mark and then seek to use it against the legitimate business activities of the rightful owner of that mark.”
But Varney disputes who, in fact, owns the ASA and its trademarks.
Dale purchased the ASA from founder Rex Robbins in 2003, but the longtime national short-track series ran for only one season under his direction before folding shop.
Dale and Varney, formerly of USPRO Cup, formed the ASA Late Model Series as an entirely separate entity from what had been the ASA, Varney said. The ASALMS began competition in 2003 and was to have been a feeder series for the ASA, but when the ASA faltered, Varney took control with the licensing rights to the series, according to the ASA Late Model Series Web site.
“We plan to present evidence that will show Steve Dale never fulfilled his contract to purchase the American Speed Ass’n from Rex Robbins and that several judgments have been placed against Steve Dale relating to such,” Varney said.