Police say the man was pronounced dead at the scene, and a child also suffered minor injuries.
Police initially said it was believed the man's death in Strathpeffer was a medical matter.
Strathpeffer Pavilion's long history also includes a performance by the Kaiser Chiefs.
The celebration of Highland culture, which was set up more than 20 years ago, has faced financial challenges in the past.
Large parts of the Highland region could be covered by the control areas if they go-ahead.
The Strathpuffer race involves laps of a track through a Highland forest.
The former Dingwall Academy pupil has won eight world championships in four years.
All or parts of Wester Ross, Strathpeffer and Lochalsh could be covered by rules on AirBnB-style properties.
Owen Lonie, formerly of Strathpeffer, urinated on a dog during abuse of one of his victims.
