A federal antitrust lawsuit involving NASCAR, 23XI Racing, and Front Row Motorsports (FRM) has seen recent legal developments in a North Carolina court. U.S. District Judge Kenneth Bell denied the motion by 23XI and FRM to dismiss NASCAR's counterclaim alleging illegal collusion by the teams to secure better charter terms. The judge ruled that challenges to the counterclaim are best addressed at summary judgment with a more developed factual record. NASCAR also subpoenaed financial information from 12 non-suing chartered teams to defend itself, seeking data including total revenue, costs, and net profits dating back to 2014. While the judge ordered these teams to provide top-line financial data in a limited and confidential manner, he rejected NASCAR's request for more detailed financial disclosures. The non-suing teams expressed concerns about the scope of the subpoena, and some may appeal the order. Subsequently, the Fourth Circuit Court of Appeals denied 23XI and FRM's request for a rehearing to maintain their chartered status, putting their charters at risk of being revoked as early as the upcoming Dover race. In response, 23XI and FRM filed a third request for a temporary restraining order and preliminary injunction to retain their charter status for the remainder of the 2025 season. NASCAR opposed this motion, arguing that the teams had relinquished their charters by not signing the 2025 agreement and that the dispute centers on contract issues rather than antitrust violations. Both teams have completed paperwork to race as open teams at Dover and Indianapolis if their charters are revoked. NASCAR has also stated it will not sell any charters until the preliminary injunction request is resolved. The legal battle continues amid ongoing negotiations and potential settlements.
From earlier: 2025 NASCAR Playoff Picture: Who's In, Who's Nervous, Who's Got To Win @NASCARONFOX https://t.co/Z32fMpp1jJ
NASCAR filing today also said it won’t sell any of the charters at least until this preliminary injunction request is decided (what would be decided this week is a temporary restraining order prior to hearing/decision on preliminary injunction). https://t.co/rpiKxhBNBu
NASCAR filing reiterates many arguments. It stresses 23XI & FRM relinquished their charters when they didn’t sign 2025 agreement last yr. It mentions MJ, in deposition, said he wants permanent charters. NASCAR says that shows this is contract, not antitrust dispute. Last page: https://t.co/TUmcFLww9s