NASCAR antitrust case heats up as judges doubt 23XI and FRM’s strategy

Earlier today, the hearing for NASCAR's appeal against the injunction that 23XI and Front Row Motorsports have received took place, and while the judges haven't ruled in anyone's favour yet, details have emerged on the panel of judges' initial opinion on the teams' complaints against the stock car racing association. They seem to be bothered by the two racing organizations attempting to hold chartered status within the sport while also attempting to sue the governing body.

NASCAR journalist Bob Pockrass shared a short summary of the day's proceedings on his X (formerly Twitter) account earlier today.

"Hearing is over. Judges seemed troubled that 23XI/FRM trying to have cake (be chartered) & eat it too (sue under antitrust violations) & whether not-to-sue clause in charter agreement is violation of antitrust law. Implied either sign charter or sue for damages while racing open."

Pockrass also shared some background on the court proceedings themselves, before the hearing that took place at the U.S. Court of Appeals in Richmond.

"Judges often ask hard questions/critical arguments to both sides. Trying to predict how they will rule can be tough b/c sometimes they question the side they actually likely will rule for more critically to make sure of their opinion."

In their battle against the governing board, the teams received an injunction in December of 2024 that has allowed the two teams to participate in the 2025 Cup Series season as chartered teams while continuing to follow through with their lawsuit, which the appeals court judges are now finding to be dubious.

The lawsuit that has been brought by 23XI Racing and FRM to NASCAR has to do with the two teams' finding that the way the stock car racing association has been conducting business is anti-competitive, monopolistic, and doesn't allow the teams a fair opportunity, with the trial for it set to take place in December of this year.

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NASCAR's argument against the injunction given to 23XI Racing and FRM

Syndication: Arizona Republic - Source: Imagn

In the appeal that was filed in February of this year, which has led to today's hearing, NASCAR's lawyers shared that by handing the injunctions to 23XI Racing and FRM, it has put the governing body in a position to have to treat the organizations that are pursuing litigation against them as business partners, by allowing them to be chartered teams at the same time as they await trial.

"These injunctions misuse the judicial power to force NASCAR to treat its litigation adversaries as its business partners and confidants, undermining the mutual trust that has fueled NASCAR's growth and success," the attorneys wrote in the brief. [via The Japan Times]

While the legal battle continues, the Cup Series goes on, with the next race taking place at the Kansas Speedway on May 11 at 3:00 p.m. ET.