Judge denies 23XI Racing and Front Row Motorsports' request to race with charters

CHARLOTTE, N.C. (AP) — A federal judge on Thursday rejected a request from 23XI Racing and Front Row Motorsports to continue racing with charters while they battle NASCAR in court, meaning their six cars will race as open entries this weekend at Dover, next week at Indianapolis and perhaps longer than that in a move the teams say would put them at risk of going out of business.

U.S. District Judge Kenneth Bell denied the teams' bid for a temporary restraining order, saying they will make races over the next couple of weeks and they won’t lose their drivers or sponsors before his decision on a preliminary injunction.

Bell left open the possibility of reconsidering his decision if things change over the next two weeks.

After this weekend, the cars affected may need to qualify on speed if 41 entries are listed — a possibility now that starting spots have opened.

“We are disappointed that the court declined to grant 23XI and Front Row Motorsports a temporary restraining order to allow the teams to continue racing as chartered teams," the teams' attorney Jeffrey Kessler said in a statement. “We remain confident that our motion for a preliminary injunction is legally warranted and necessary, and we look forward to the court’s full review.”

23XI, which is co-owned by retired NBA great Michael Jordan, and FRM filed their federal suit against NASCAR last year after they were the only two organizations out of 15 to reject NASCAR's extension offer on charters.

“We made the decision to bring this lawsuit to challenge NASCAR’s monopolistic practices and bullying tactics, and we are not going to let them push our teams – or others – out of the sport that they love,” Kessler's statement said. "We are confident in the merits of our case and the teams remain focused on competing this weekend and continuing their playoff push.”

The case has a Dec. 1 trial date, but the two teams are fighting to be recognized as chartered for the current season, which has 16 races left. A charter guarantees one of the 40 spots in the field each week, but also a base amount of money paid out each week.

Jordan and FRM owner Bob Jenkins won an injunction to recognize 23XI and FRM as chartered for the season, but the ruling was overturned on appeal earlier this month, sending the case back to Bell.

Three-time Daytona 500 winner Denny Hamlin co-owns 23XI with Jordan and said they were prepared to send Tyler Reddick, Bubba Wallace and Riley Herbst to the track each week as open teams. They sought the restraining order Monday, claiming that through discovery they learned NASCAR planned to immediately begin the process of selling the six charters which would put “plaintiffs in irreparable jeopardy of never getting their charters back and going out of business.”

“This is a fair and significant fear; however, NASCAR has agreed that it ‘will not sell any charters before the court can rule on plaintiffs’ motion for preliminary injunction,’” Ball wrote. “Similarly, plaintiffs worry that denying them guaranteed entry into the field for upcoming races could adversely impact their competitive standing, including their ability to earn a spot in the playoffs. Again, a legitimate, potentially irreparable harm. Yet, akin to the sale of charters, NASCAR represents to the court that all of plaintiffs’ cars will qualify (if they choose to race) for the races in Dover and Indianapolis that will take place during the next 14 days.”

Making the field won't be an issue this weekend at Dover as fewer than the maximum 40 cars are entered. But should 41 cars show up anywhere this season, someone slow will be sent home and that means lost revenue and a lost chance to win points in the standings.

Reddick was last year’s regular-season champion and raced for the Cup Series championship in the season finale. But none of the six drivers affected by the court ruling are locked into this year's playoffs.

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