NASCAR’s legal dispute with 23XI Racing and Front Row Motorsports has escalated with the organization formally responding to newly re-filed motions from the two teams. The case revolves around accusations of monopolistic practices, particularly concerning NASCAR’s charter system.
Both 23XI Racing, co-owned by NBA legend Michael Jordan and NASCAR driver Denny Hamlin, and Front Row Motorsports renewed a Motion for a Preliminary Injunction just before Thanksgiving. The timing has drawn criticism from NASCAR, which views it as an attempt to exploit the holiday schedule and limit response time. Chris Yates, an attorney representing NASCAR, labeled the move as a “tactical delay.” He remarked, “Plaintiffs’ motion to expedite should be denied. Plaintiffs tactically delayed filing their new motion for a preliminary injunction for over a week, intentionally dropping it on NASCAR and the Court on the eve of the Thanksgiving holiday after first posting about it on social media many hours before filing.”
Judge Frank D. Whitney, who is overseeing the case, has adjusted NASCAR’s response deadline, extending it from December 6 to December 9 to accommodate the holiday constraints. Following NASCAR’s response, the teams will have until December 12 to submit their reply, after which oral argument dates will be scheduled.
This latest motion comes after the initial motion was denied in November. Since then, the teams have appealed, and NASCAR has removed a contentious clause in the Open Team Agreement that previously barred teams from pursuing antitrust lawsuits.
At the heart of the dispute is NASCAR’s charter system, which 23XI Racing and Front Row Motorsports argue creates an uneven playing field. They claim the system provides chartered teams with advantages and guarantees not available to open teams, which must qualify for every race.
The urgency of the situation is heightened by pending agreements to acquire additional charters from the now-defunct Stewart-Haas Racing. These agreements are critical, with tight deadlines affecting sponsorship deals and driver contracts. For instance, 23XI Racing’s Tyler Reddick may have the option to exit his contract if the team cannot secure a chartered entry.
The outcome of the preliminary injunction motion is expected to significantly influence the teams’ ability to finalize these agreements and their standing within the NASCAR framework.
