23XI Racing and Front Row Motorsports secured a preliminary injunction in their lawsuit against NASCAR. U.S. District Judge Bell's ruling permits both teams to compete as chartered teams in the 2025 NASCAR season and to acquire additional charters from Stewart-Haas Racing.
This decision, which surprised many, is a small victory for these teams as they challenge NASCAR's operational practices.
The lawsuit, filed by 23XI Racing, co-owned by NBA legend Michael Jordan and NASCAR driver Denny Hamlin, along with Front Row Motorsports, owned by Bob Jenkins, represents a significant antitrust action within the sport. The teams allege that NASCAR engages in anti-competitive practices that stifle growth and compromise fairness, negatively impacting teams, drivers, sponsors, and fans alike.
Central to their complaints is the 2025 Charter Agreement, which the plaintiffs claim consolidates power within the France family, the owners of NASCAR. They raise concerns including permanent charters, revenue sharing, and a need for a fair governance structure.
Jeffrey Kessler, the attorney representing both racing teams, has explained in a statement:
"We welcome today's decision by Judge Bell granting a preliminary injunction in our favor. The court's ruling allows 23XI and Front Row Motorsports to race existing cars as chartered teams in next year's Cup Series. The decision also requires NASCAR to approve both teams' purchases of a third charter from Stewart-Haas Racing and allow these cars to also race as chartered teams in the 2025 season.
"We are confident in the strength of our case and will continue to fight so that racing can thrive and become a more competitive and fair sport in ways that benefit teams, drivers, sponsors and, most importantly, our fans."
This legal victory is viewed as a strong challenge to NASCAR. Denny Hamlin quickly celebrated the ruling with an enthusiastic and succinct social media post. "YESSSSSSS!!!!!!!" he posted, succinctly capturing the sense of triumph felt by 23XI Racing following the legal win.
However, the legal journey is far from over. NASCAR holds the option to appeal the ruling. Should it choose not to, the lawsuit will move into the discovery phase, where deeper insights into NASCAR's operational structure and practices will be uncovered.
As the 2025 season approaches, both 23XI Racing and Front Row Motorsports are expanding their team rosters. 23XI Racing plans to field Bubba Wallace, Tyler Reddick, and Riley Herbst, while Front Row Motorsports will include Todd Gilliland and Noah Gragson, with another driver pending. This comes after both teams look to acquire charters from Stewart-Haas Racing which closed down at the end of the 2024 season.