The ongoing legal dispute between NASCAR and 23XI/FRM has finally headed in a new direction. Both teams prioritized the preliminary injunction and were able to secure their chartered status for the 2025 season. They put forth irreparable harm and thus scored a major win in their pursuit of getting a fair charter agreement. But the ball was in NASCAR’s court as they had the last roll of the dice to appeal the injunction ruling.

Although the sanctioning body tried to deploy all the tricks they could to reverse this decision, the court has sided with the teams in the latest verdict. NASCAR’s request to appeal the injunction was denied, along with their plans to shell out $10 million each from 23XI Racing and FRM. NASCAR had asked to post a bond of $10 million on the team in case they prevailed in their efforts to reverse the injunction motion.

NASCAR suffers yet another major defeat

District Court Judge Kenneth D. Bell was quoted saying this in a post shared by Jeff Gluck, “At least at this point in the litigation, NASCAR has failed to particularly establish how it (as distinguished from third parties) will be monetarily harmed, or in what amount, by having to pay Plaintiffs as chartered team.” However, the judge clarified that NASCAR could pursue damages if they prevailed in the antitrust case against the two teams.

After being on the bitter end of the ruling since the loss of the first injunction on November 8, the teams have finally managed to get clear of NASCAR’s roadblock. They won the injunction after they refiled the motion showcasing irreparable harm with loss of drivers and sponsors. Not only that, they also managed to bag the third charter they purchased from Stewart Haas Racing.

Even before, Judge Bell denied NASCAR’s motion, both the teams were already preparing for the 2025 season. FRM announced a reunion with Zane Smith, who will drive their third entry in 2025. Also, Chandler Smith joined them to further bolster their Truck Series racing program. Meanwhile, 23XI Racing is yet to fully announce their plans for next year as they haven’t secured their third charter.

Unlike FRM, 23XI Racing didn’t request the transfer of the SHR charter. However, the judge had stated that they were open to filing a request. Given that the precedent has already been set with FRM’s ruling, it is expected that 23XI Racing will get approval on the transfer of the SHR charter. Regardless of the outcome of this appeal, they have announced Riley Herbst as their third driver for the 2025 season, driving the No. 35 car.

What’s next in the NASCAR vs. Michael Jordan antitrust lawsuit?

Even before today’s ruling, it was known that NASCAR would have a hearing on January 8 to settle the motions to dismiss. With the injunction ruling concluded, the case will now move to the discovery stage that could take the entire of 2025. According to an update by NASCAR, both parties will be able to gather their information and make their case ahead of the deadline date, Sept. 19, 2025.

The start date of the trial is set for December 1, 2025. Now here’s where things will get interesting, as the preliminary injunction is only valid for a year. And in a scenario where this dispute isn’t settled by the end of 2025, we could see the teams file for an extension of the injunction. Well, this could make things tricky as NASCAR would again argue its case to get an advantage. But the discovery phase is expected to reveal sensitive information and for the first time could see NASCAR opening up its book.

It is indeed hard to guess or predict who will come out of this conflict clean. And yes, do not count out the possibility of the two parties settling their dispute outside the court.