23XI Racing and Front Row Motorsports have filed an antitrust lawsuit against NASCAR, highlighting significant financial and operational challenges faced by teams. The lawsuit includes a motion for a preliminary injunction to allow the teams to race as chartered teams while the case is ongoing. The Daytona 500 purse is mentioned as 15% of the entire season's purse, emphasizing the importance of guaranteed spots in the race. Additionally, 23XI Racing has stated it needs to invest $2.5 million in parts and equipment to start a third team. The team currently has 100 employees and plans to add 27-32 more for the third team. The court has set several key dates: NASCAR's response to the motion for expedited discovery is due October 11, the response to the motion for a preliminary injunction is due October 14, and the preliminary injunction hearing is set for October 16. NASCAR has requested an extension for these deadlines due to potential office closures caused by a storm. NASCAR President Steve Phelps has communicated that NASCAR made several concessions in the charter negotiations, but the teams argue these were insufficient. NASCAR argues there is no irreparable harm as teams plan to race as open teams if they lose the motion, and monetary damages could compensate the teams if they ultimately prevail. Michael Jordan is also involved in the negotiations.
Denny Hamlin calls out NASCAR for taking away teams’ rights in initial charter https://t.co/WVFosTfzqE
From yesterday: What to know about NASCAR antitrust lawsuit: What the lawsuit is all about, what the teams asked for yesterday, what people are saying about the lawsuit and what issues favor each side @NASCARONFOX https://t.co/uzmwa5mM7B
In filing tonight, NASCAR indicates why it will oppose preliminary injunction. Mainly they argue no irreparable harm b/c the teams plan to race as open teams if they lose this motion and therefore monetary damages could compensate the teams if the teams ultimately prevail. https://t.co/cwJ8nnRrzq https://t.co/PLuBwagFko