Former NASCAR driver Kenny Wallace has commented on the recent court decision to reject 23XI Racing and Front Row Motorsports' charter status amid the legal fight with NASCAR.On Wednesday, September 3, a federal judge denied the recent preliminary injunction of 23XI, which is co-owned by NBA Hall of Famer Michael Jordan and Cup driver Denny Hamlin, and Bob Jenkins' FRM. The ruling means both teams will race as open entries through the end of 2025.Since a charter gives teams a guaranteed spot and a bigger share of prize money, Wallace shared his concerns about the race-winning of the teams. In a video shared on his X account, Kenny Wallace said (3:45 onwards):"So, Michael Jordan, 23XI, Front Row, they do not have a charter. They are just freewheeling right now. They're just racing for free. I think Tyler Reddick could win the race and maybe get about 100 grand. He might get a million if he was a charter member."23XI and FRM had won an injunction, in December last year, which let them race as chartered teams while the antitrust case against NASCAR played out. However, the appeals court overturned that ruling in June 2025, and now the US District Court for the Western District of North Carolina has denied their request to restore charter status for the rest of 2025.NASCAR also pledged not to transfer the team's charters this season."NASCAR said this, 'When we do sell Michael Jordan and Front Row's charter, we will give them the money.' Well, that's good. How nice of them. A shit show turns into, 'Hey, I got my money back.' Hey, you lost your charter. Well, you got your $40 million back," Wallace added.NASCAR had earlier signaled its intent to reassign a charter previously held by 23XI Racing or Front Row Motorsports. The sanctioning body filed a notice that it plans to allocate one of the disputed charters to a new entity.23XI Racing and FRM lose charter status after NASCAR's rule changeThe decision to strip 23XI and FRM of their charter status was influenced by NASCAR's rule change. In July, the sanctioning body guaranteed that all six cars from these teams would be able to compete in every race without the risk of missing events this season. The judge stated that this adjustment lessened the immediate harm the teams claimed they would suffer without charter status.NASCAR has also agreed to issue up to four new charters, numbered 37 through 40, for the 2026 season. These charters are intended for new entrants and will not affect the disputed charters currently held by 23XI and FRM.Meanwhile, the antitrust lawsuit trial against NASCAR and its CEO Jim France, which the teams filed last October after refusing to sign the new charter agreement, is set for December 1. 23XI and FRM say the charter system limits their rights and blocks legal recourse.