A federal judge dealt a setback to NASCAR and Chairman Jim France on Friday, denying their request to dismiss a lawsuit filed by 23XI Racing and Front Row Motorsports. The teams, which did not sign NASCAR’s Charter Agreements, filed an antitrust lawsuit against the sanctioning body and France on October 2.
U.S. District Judge Kenneth D. Bell issued his ruling after hearing arguments from both sides in court on Wednesday. Bell’s decision makes it clear that the case will not be dismissed at this stage.
In his ruling, Bell summarized the core of the dispute: the Plaintiffs, 23XI Racing and Front Row Motorsports, argue that NASCAR, under the France family’s control, is a monopolistic force that imposes unfair and “take it or leave it” terms on teams. NASCAR, on the other hand, defends itself as the founder and leader of a beloved racing series, asserting that its Charter Agreements are fair and beneficial for all parties involved.
Judge Bell noted that these conflicting views cannot be resolved simply through motions to dismiss and that further investigation into the evidence is required. He concluded that the plaintiffs had raised sufficient antitrust claims to warrant further proceedings. As a result, NASCAR’s motion to dismiss was denied.
Additionally, the court rejected NASCAR’s request for a large bond from 23XI Racing and Front Row Motorsports. NASCAR had asked that the teams post a bond of over $10 million per car to cover potential harm the series claims it would suffer by allowing the teams to race under the Charter terms. Bell found that NASCAR’s claimed harm was too uncertain to justify the bond. While the ruling waives the security requirement for now, the judge did leave the door open for NASCAR to seek reimbursement later if it can prove any damages.
For now, 23XI Racing and Front Row Motorsports are allowed to run their cars as chartered entries, despite not signing the agreements in September. NASCAR has appealed the preliminary injunction allowing them to do so.
The trial is set to begin on December 1, which means this legal battle will continue to hang over the season’s final races unless a settlement is reached – something that at this point seems about as likely as a second coming of Jesus.
Greg is the author of "The Nuts and Bolts of NASCAR: The Definitive Viewers' Guide to Big-Time Stock Car Auto Racing" and has been published in major publications across the country including the Los Angeles Times, the Cleveland Plain Dealer and the Atlanta Journal-Constitution. He was also a contributor to Chicken Soup for the NASCAR Soul, published in 2010, and the Christmas edition in 2016. He wrote as the NASCAR, Formula 1, Auto Reviews and National Veterans Affairs Examiner for Examiner.com and has appeared on Fox News. He holds a BS degree in communications, a Masters degree in psychology and is currently a PhD candidate majoring in psychology. He is currently the weekend Motorsports Editor for Autoweek.
- Martin Truex Jr. and Cole Pearn Reunite for Daytona 500 Bid - January 16, 2025
- Jimmie Johnson Returns for 2025 Daytona 500, Eyes Milestone 700th Start - January 16, 2025
- NASCAR Goes Full Throttle with Free Streaming Channel on Tubi - January 16, 2025