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In the latest development in the 23XI Racing and Front Row Motorsports Lawsuit, it appears that NASCAR is ready to make a drastic move if the two teams do not get their injunction. NASCAR, via a 22-page response to 23XI/FRM’s injunction, is planning on racing the 2025 season without the two teams’ combined four charter entries.
When 23XI and FRM first filed their lawsuit against NASCAR, a key point was a planned injunction allowing them to field fully chartered teams in 2025.
The importance of getting this injunction is the financial impact Charter ownership has on a team. Charters allow one car per owned charter entry into every NASCAR Cup Series points race. This means guaranteed money each race weekend. Furthermore, charter ownership gives teams valuable revenue sharing with NASCAR and its tracks.
This money helps pad the high bill each team racks up during a race year, as each car fielded costs upwards of $15 million. The two teams filed this injunction on Oct. 9. In doing so, they filed for expedited discovery. While the hearing for these requests will be on Nov. 4, NASCAR responded to this request on Wednesday.
Among other information in this response is a very important note about what it is planning on happening in 2025.
On page 2 of NASCAR’s response, via a copy from SportsNaut:
“The deadline for Plaintiffs to sign 2025 Charter Agreements expired weeks ago, and NASCAR has taken steps, consistent with its contractual obligations to other Charter Teams, to plan for a season with only 32 Charters.”
In 2024, NASCAR has 36 chartered teams. This implies the loss of four charters, those belonging to 23XI and FRM. So, what does this mean for the two teams?
What’s Happening? 23XI and Front Row Motorsports face an uncertain future with their upcoming Nov. 4 injunction hearing. This preliminary injunction…
This is what many expected to happen when 23XI and FRM held out on signing the new Charter Agreement. However, it is by no means set in stone. That’s where the injunction comes into play.
If the teams get their injunction, they will get to race in the 2025 season as a chartered team. However, if they do not, 23XI Racing and Front Row Motorsports will have to race as “open” cars.
This means that they will not receive the benefits of the 2025 NASCAR Charter agreement, and, additionally, they will not have automatic entry into points-paying races. Each race is limited to 40 cars, and while most races don’t reach that number, the unpredictable road courses and drafting tracks of the NASCAR circuit do.
This means that if the two teams do not get their injunction and a freak occurrence happens during speed weeks, they could miss out on the Daytona 500.
Furthermore, the lawsuit revealed that two charters that both teams purchased prior to the lawsuit are on hold until NASCAR approves the sale. Even if 23XI and FRM get their injunction, no one knows if NASCAR will allow these transactions to go through.
This filing leaves a lot up in the air for both the plaintiffs, 23XI/FRM, and the defendants, NASCAR. The judicial system will decide whether or not the teams deserve their injunction or if NASCAR can take these Charters back.
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