Tue Dec 24 10:00:00 UTC 2024: ## NASCAR Faces Legal Setback: Judge to Rule on Stay of Injunction Against 23XI Racing and Front Row Motorsports
**Charlotte, NC** – A legal battle between NASCAR and two of its teams, 23XI Racing and Front Row Motorsports, intensified Monday as a judge prepares to decide whether to temporarily halt a preliminary injunction against the racing organization. The injunction, if upheld, would prevent NASCAR from denying the teams the same terms offered to charter teams and would protect them from being forced to drop their legal claims.
The teams, owned by Michael Jordan and Denny Hamlin (23XI), and Front Row Motorsports, filed a brief arguing against NASCAR’s request for a stay of the injunction. The brief, filed by attorney Jeffrey Kessler, accuses NASCAR and CEO Jim France of using “litigation theatrics” to mask legal weaknesses and repeatedly raising already rejected arguments.
The central issue involves the teams’ attempt to purchase two charters from Stewart-Haas Racing (SHR), which would allow them to compete on a level playing field. The brief alleges that NASCAR initially approved the transfer but later reversed its decision after the lawsuit was filed, claiming this was retaliation for exercising their antitrust rights.
The brief further contends that NASCAR’s concerns about the ownership qualifications of Jordan and Hamlin are pretextual, citing previous NASCAR approvals and public praise from NASCAR president Steve Phelps. It argues that these concerns only surfaced after the lawsuit was initiated.
U.S. District Judge Kenneth D. Bell is expected to rule on NASCAR’s motion for a stay later today. If the stay is denied, the teams will be able to proceed with the charter transfer and maintain their legal action. However, NASCAR could still appeal the decision, potentially delaying the final outcome for months. Even if the injunction is upheld, the underlying antitrust claims will still need to be resolved at trial, scheduled for December. The possibility of a settlement remains. The case highlights a growing tension between NASCAR and its teams over charter rights and potential antitrust violations.