NASCAR Motions to END 23XI and FRM’s Antitrust Suit

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Kauy Ostlien

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What’s Happening?

On Monday, NASCAR and CEO Jim France filed a motion to dismiss their ongoing 23XI Racing and FRM antitrust lawsuit. Most expected NASCAR to file a motion for dismissal for some time. However, within this, NASCAR answered a long-looming question regarding the two teams’ new charters.

Monday’s Filling

The motion to dismiss listed the reasons why NASCAR and its CEO, Jim France, feel the Oct. 2 lawsuit should be thrown out. This motion could, essentially, end the case. However, there is no date set for a hearing to decide this.

NASCAR’s main claim is that the teams are filing this suit because 23XI and FRM did not get the terms they wanted in the 2025 NASCAR Charter Agreement. “Plaintiffs’ Complaint reflects nothing more than dissatisfaction with business negotiations that didn’t go their way.”

The filing also clarified that the sport will not consider transferring the final two Stewart-Haas Racing Charters as the team “purchased these Charters fully aware that they contained a release provision.” These two Charters have been a major sticking point for fans as there is no indication of whether or not the teams will acquire them

The release provision refers to an aspect of the Charter Agreement that releases NASCAR from antitrust claims. 23XI and FRM recently re-filed a motion for a preliminary injunction that would allow the teams to possess their two current charter alongside their new charter from SHR. This means they would sign the charter agreement. However, the injunction would also remove the release provision from the agreement.

Background

On Nov. 26, the teams claimed that they had three weeks to close on the SHR Charters.

With or without their new and old Charters, the teams will race in 2025 as they have signed the “open” agreement with NASCAR, and 23XI has already expanded to a third car for 2025. The teams claim that racing without their Charters will cause irreparable harm.

In their initial lawsuit, however, which is separate from the injunction, the teams claimed NASCAR’s ownership of tracks and the ARCA Menard’s Series, among other reasons, gave NASCAR a monopoly on stock car racing. The sport has, of course, denied these claims since the Oct. 2 filing.

We have covered this lawsuit extensively in the timeline linked above.

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Picture of Kauy Ostlien

Kauy Ostlien

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