23XI and FRM Claims That Should NASCAR’s Counterclaim Continue, Other Teams “Must Be Joined as Necessary Parties”

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What’s Happening?

In their latest filing, 23XI Racing and FRM’s legal teams claim that if NASCAR’s now amended Mar. 5 counterclaim is not dismissed and continues as is, chartered teams not involved in the lawsuit should “be joined as necessary parties.”

This is in response to a May 8 ruling that stated that NASCAR could amend its Mar. 5 counterclaim with additional evidence.

Per a Race Team Alliance brief recently filed, the RTA, which consists of NASCAR’s Charter-owning teams, stated that the other 13 teams should not be added to the lawsuit. A filing from NASCAR also agreed, saying that they do not believe “non-party Charter holders need to be joined to this litigation.”

On Apr. 17, NASCAR asked the court to amend its Mar. 5 counterclaim with additional evidence proving that the two teams colluded with other NASCAR teams to obtain favorable terms during charter negotiations.

In a May 8 ruling allowing NASCAR to amend the counterclaim, the Judge asked both the teams and NASCAR if other chartered teams were required parties that should be added to the lawsuit per Rule 19 of the Federal Rules of Civil Procedure.

NASCAR initially filed the counterclaim on Mar. 5, alleging that 23XI Racing, Front Row Motorsports, and 23XI investor Curtis Polk violated Section 1 of the Sherman Act. This statement stated that these parties had conducted a “plot to use collusive behavior to extract more favorable commercial terms from NASCAR in the Charter negotiations.”

This counterclaim is part of the Oct. 2 antitrust lawsuit filed by 23XI Racing and Front Row Motorsports against NASCAR. We have covered this lawsuit extensively via the story linked below.

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Picture of Kauy Ostlien

Kauy Ostlien

All Posts