Michael Jordan’s 23XI Racing could potentially change the landscape of NASCAR. The 6-time NBA Champion is no stranger to revolutionizing a sport, however, this time he is doing it by suing the governing body. After two tumultuous months, filled with the prospect of running as an open team, 23XI and Front Row Motorsports finally got some respite, and it may just create a ripple effect in the sport.

On December 18th, the court granted the preliminary injunction requested by the plaintiffs in their lawsuit against NASCAR. This allows them to run as chartered teams while still pursuing their antitrust lawsuit. Since this whole dispute stemmed from the two teams refusing to sign the charter deal citing ‘monopolistic practices’, the resolution would be a new deal, in an ideal scenario. How would this new deal affect the rest of the grid? Fox Sports’ Bob Pockrass explains.

A rising tide lifts all boats

Charters were an inevitability after the eventual corporatization of NASCAR in the late 90s. To increase the contracts and streamline the revenues, they started revamping the entire system, making it much more structured. Charters, when first introduced in 2016, ignited major heated debates on NASCAR’s authoritative nature. Those debates are still going on. Many question the authority that NASCAR has over all the chartered teams, ripping them away from their deserved autonomy. But there seems to be a new ray of hope to end this regulated ‘tyranny’.

Replying to a fan on X (formerly Twitter), Fox Sports reporter Bob Pockrass wrote, “Changes to the charter agreement as a result of the lawsuit, that most likely would be for all teams,” suggesting that if Michael Jordan’s 23XI Racing and Bob Jenkin’s FRM won the lawsuit, it would open new opportunities for the other 13 teams on the grid.

Throughout the course of NASCAR, the France family has always had their stronghold on the sport. However, this deal could change everything in that aspect. With all the teams potentially gaining from this verdict, this will mark a turning point in the relationship between NASCAR and its teams. With 13 teams unwilling to fight back against the charter agreement, with Rick Hendrick, himself saying, “I was just tired, not everybody was happy. But in any negotiation, you’re not going to get everything you want.” Now, NASCAR will have to comply with 23XI and FRM’s requests which could prompt teams not to roll over easily in front of the governing body and stand up for themselves.

Some of the possible new avenues that will open up from the lawsuit include better team autonomy, direct charter deals without NASCAR’s mediation, freer trade of charters, and motivation for other teams to follow their footsteps and challenge NASCAR’s authority on different levels. The ripple effect this could create might have grave consequences for NASCAR, such as losing control over the charter market, and one thing NASCAR hates is losing control over any aspect of its sport. This is why they have chosen to respond to the verdict by requesting a hearing to stop some of the charter deals going through.

NASCAR fights back

To no one’s surprise, NASCAR isn’t taking the granting of the injunction lightly. The governing body has requested to the court that their injunction be delayed pending an appeal. However, this is focused on the sale of the third Stewart Haas Racing charters. Bob Pockrass explained the situation on X. “NASCAR is asking for the enforcement of preliminary injunction be delayed pending appeal except that NASCAR will guarantee entry of two cars each from Front Row and 23XI in each 2025 Cup race. They ask to delay SHR charter transfers and other benefits of charter membership.”

In a twist of events, NASCAR is now claiming ‘irreparable harm’ if the SHR charters are sold. The governing body claims that selling SHR charters would lock them in financially with the teams for 7-14 years. This is not something they want, as these charters have not been through due processes and according to NASCAR’s filing, “Plaintiffs have not met multiple conditions for this charter assignment.”

Well, now only time will tell whether NASCAR will get its way here, but their request does seem to be genuine. They initially tried to wield their sledgehammer by taking away all the charters and making the teams run as open ones for 2025. However, that backfired as it showed irreparable harm on the plaintiffs’ end with a financial loss of sponsors are loss of star drivers. Now, accepting their current charters but denying the SHR’s ones seems like a middle ground. What do you think of the charter situation? Let us know in the comments below!