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FRM and SHR Executives Claim NASCAR Was Going To Transfer New Charters

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Kauy Ostlien

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What’s Happening?

In a new filing as part of an ongoing preliminary injunction motion, two individuals—Front Row Motorsports General Manager Jerry Freeze and former President of Stewart-Haas Racing Joe Custer — claim NASCAR was going to transfer new Charters to 23XI and FRM prior to the Oct. 2 anti-trust lawsuit.

On Thursday, Bob Pockrass of Fox Sports first reported on X that this latest filing cites two incidents in which Steve Phelps, NASCAR’s President, allegedly told FRM GM Jerry Freeze in September that they approved the team’s Charter transfer. However, this disputes a claim in NASCAR’s Dec. 2 claim that they will not transfer these Charters.

At press time, we do not know if this was before or after the teams publically held out on signing the 2025 NASCAR Charter Agreement in early September, on Sept. 6. However, thanks to exhibits from an Oct. 9 filing from 23XI and FRM, which contained letters between the two, we know that NASCAR was communicating with the teams following the holdout, whether or not this included transfer talks is unknown.

What could happen to these two charters if 23XI and FRM do not acquire them is unknown. However, Joe Custer, via an affidavit in Thursday’s filing, claims that the Haas Factory Team, which arose from the ashes of SHR, does not have the means to race these two cars in 2025. Furthermore, Custer claims that NASCAR told him they would transfer these Charters.

What’s the Deal With These Charters?

The initial lawsuit in October revealed that 23XI and FRM agreed to purchase these two Charters from the shuttering Stewart-Haas Racing. However, these Charters are on hold as part of a preliminary injunction—which would allow the teams to compete as Chartered teams throughout the lawsuit—and require transfer approval from NASCAR.

FRM and 23XI planned to field three cars in 2025 upon acquiring these charters. Even with the future of these charters still unknown, 23XI expanded to a third full-time car for 2025 with Riley Herbst on Nov. 20.

In multiple filings, NASCAR has stated that it plans to race with 32 Chartered cars and eight open cars next season. There are 36 public charters, and with the assumed revocation of FRM/23XI’s six charters, NASCAR is technically planning on these two unsold SHR charters competing in 2025.

We have covered this lawsuit extensively via the timeline linked below.

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Picture of Kauy Ostlien

Kauy Ostlien

All Posts