NASCAR Antitrust Legal Battle: 23XI Racing and Front Row Motorsports to Compete as 'Open Teams' Amid Ongoing Dispute

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ICARO Media Group
Politics
16/11/2024 20h22

### NASCAR Legal Battle: 23XI Racing and Front Row Motorsports Continue as "Open Teams"

In a significant development within the NASCAR community, two prominent racing teams, 23XI Racing and Front Row Motorsports, have announced their intention to compete in the 2025 season as "open teams." This decision follows NASCAR's removal of anticompetitive release claims, enabling the teams to race while their ongoing antitrust legal battle with the sanctioning body continues.

The dispute originated when 23XI Racing, co-owned by NBA legend Michael Jordan and three-time Daytona 500 champion Denny Hamlin, alongside Front Row Motorsports, owned by entrepreneur Bob Jenkins, declined to accept revenue-sharing offers from NASCAR. These offers were presented a mere 48 hours before the commencement of the playoffs in September.

The two teams have since filed an antitrust lawsuit, accusing NASCAR of monopolistic practices. However, they were recently denied federal court recognition as "chartered" teams. A charter is akin to a franchise, ensuring prize money, guaranteed race entries, and other privileges. Without this status, they must qualify for each race weekly and do not receive the same financial benefits as chartered teams.

Following the court's decision, there was uncertainty about the participation of 23XI Racing in the season-opening Daytona 500 in February. Denny Hamlin hinted that it was "TBD" whether his team would compete as an open team. Given the potential for their lawsuit to be dismissed if they chose not to race, both teams faced a tough choice.

The situation saw a breakthrough when NASCAR removed the restrictive language that prevented them from being sued. This update, delivered to the teams on Friday, has allowed them to continue their racing endeavors without dropping their legal claims.

Attorney Jeffrey Kessler, representing the two teams, confirmed that 23XI Racing and Front Row Motorsports would compete as "open" teams, with plans to appeal for an injunction to race as chartered teams. This injunction aims to prevent irreparable harm and ensure fair participation in the sport.

Both teams currently hold two charters each, and they have arrangements to acquire a third from Stewart-Haas Racing. However, these transactions have not yet been finalized, and the existing charters are set to expire at the end of the year. Kessler has requested an expedited hearing in December to address the appeal.

In a statement, Kessler emphasized the teams' commitment to competing in the sport they love while striving for fairness and justice for all involved. The legal battle may be far from over, but for now, the paths for 23XI Racing and Front Row Motorsports to participate in the upcoming season have been cleared.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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