The hottest topic in NASCAR currently is the hearing on the preliminary injunction demanded by 23XI Racing and Front Row Motorsports amid the ongoing lawsuit. This all started before the playoff opener in Atlanta, NASCAR offered the new charter with a take-it-or-leave-it policy. Michael Jordans’ co-owned 23XI Racing and FRM were the only teams that declined to sign it and filed an antitrust lawsuit.

Basically, the teams are suing NASCAR for unfair and monopolistic practices in the premier stock car racing series. The long list of accusations includes NASCAR owing the majority of tracks, and that the teams are restricted from participating in other stock racing events, among others. Since the teams did not sign the charter agreement, they fear to lose on the benefits that come with it. Including a hold placed on their expansion plans, which they believe would also affect the party selling the charter. However, a recent update has revealed that this would hardly be a bargaining chip for the teams to get the injunction.

Latest on Michael Jordan owned 23XI Racing’s injunction request

The two teams have made it clear that they would race in 2025 with or without a charter. However, the benefits that come with charters can hardly be denied. Firstly, it allows teams a guaranteed spot in all the NASCAR races. This enables them to get a cut from the race purse as well as from the revenue split between NASCAR, the teams, and the tracks. If not as chartered cars, the teams would most likely have to field open cars, which doesn’t guarantee a spot in every race and would be a much more expensive affair. This, according to the teams, could lead to them losing key sponsors.

However, this is not the only reason. Previously, it was mentioned that the teams acquired a third charter from the closing Stewart Haas team; Perhaps the argument is that if it is not approved, SHR and the drivers that the teams plan to field in those third cars might be affected and hence, an injunction is a must. 23XI co-owner Denny Hamlin previously stated that they have received no deadlines to get the third charters approved from NASCAR. He had said, “No deadlines that I’m aware of, and no, we haven’t spoken to them about it. I think that is kind of more of a conversation that they would have with Stewart-Haas.”

However, in a recent conversation between Fox Sports’s Bob Pockrass and SHR Vice President Joe Custer, it was revealed that the SHR team would remain unaffected with or without 23XI racing and FRM getting an injunction. Pockrass on X wrote, “23XI and FRM have agreements in place to each buy a charter from SHR. The filings indicate the transfers still need NASCAR approval. SHR’s Joe Custer told me he met with NASCAR and he doesn’t believe he’ll have to run those cars or sell charters to someone else.” 

Riley Herbst to 23XI Racing and Zane Smith to FRM are the rumored drivers to pilot the third car. What happens to their 2025 season is yet to be seen. However, if Michael Jordan and co’s injunction demand is met, they would be allowed to run as charter cars as well as continue to fight the lawsuit. This is because the 2025 charter agreement requires the signees to release any lawsuits against NASCAR, however an injunction would give them an exception. But, NASCAR’s rebuttal is that the teams refuted the agreement, initially filling the lawsuit, and now hypocritically also want to reap its benefits.

NASCAR’s stand on the preliminary injunction

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Initially, the teams claimed that the damage they would face without the injunction would cause them irreparable harm. NASCAR has, however, promptly asked for the motion to be denied. According to the racing organization, the teams fail to meet the standards required to get an injunction. They have accused the teams of changing the status quo in order to get more money.

NASCAR’s statement read, “The Motion seeks to change the status quo, not maintain it; is about money, not irreparable harm; and fails to show a likelihood of success on the merits. This lawsuit is not about protecting competition; it’s a bid by Plaintiffs to secure more money than they could through arm’s-length negotiations. The motion should be denied.” According to NASCAR, even the anti-trust lawsuit has no merit but is only a tactical move to take an increased revenue share.

The racing organization also claimed that the deadline to sign a charter has passed, and they have reduced the number of chartered cars from 36 to 32. If the injunction demand gets approved, it would impact their plans to relocate the money to the 32 chartered teams. And naturally giving different contractual terms to just two teams renders it unfair to the rest.

Whereas on the third charter, NASCAR claims neither 23XI Racing nor Front Row Motorsports have applied to have the additional third charter approved. So, the future of those charters remains to be seen as the injunction hearing will take place on November 4th. What do you think of the team’s injunction request? is it fair? Share your thoughts with us in the comments down below.