Judge denies request for Michael Jordan’s team equipment in lawsuit against NASCAR
A federal judge denied the request of two teams, one owned by NBA legend Michael Jordan, to obtain a preliminary injunction in their antitrust lawsuit against NASCAR. Judge Kenneth Bell of the U.S. District Court for the Western District of North Carolina argued that there was no reason to grant the injunction to 23XI Racing and Front Row Motorsports. This is because NASCAR committed not to sell the six charters that the teams previously held until the legal battle is over. Judge Bell has repeatedly emphasized his reluctance to rule on the likelihood of one party prevailing over the other, reiterating this stance on Wednesday.Bell also warned about the NASCAR landscape if the case is not resolved before the trial.As the Court noted at the hearing on this motion, the Court believes it is best not to provide its forecast on the likelihood of success of the Plaintiffs on the merits, and thereby potentially bias the jury, unless it is necessary to do so, which is not the case here.
Judge Kenneth Bell
NASCAR, in a statement, said the ruling “provides much-needed clarity for the remainder of the 2025 NASCAR season.”The uncertainty about how the 2026 season will be unfortunately exists not only for the Parties, but also for the other teams, drivers, crews, sponsors, broadcasters and, most regrettably, the fans.
Judge Kenneth Bell
The trial is scheduled for December 1st. The lawyer for the teams suing NASCAR, Jeffrey Kessler, expressed satisfaction with the decision that maintains the status quo.For nearly 80 years, NASCAR and the France family have championed a bold vision by taking many personal and financial risks to build a sport that fuels livelihoods, inspires generations, and delivers world-class competition. That commitment remains unwavering, and we will continue to uphold the integrity of NASCAR and preserve the values that have guided its growth.
NASCAR
23XI Racing, the team owned by Jordan and three-time Daytona 500 winner Denny Hamlin, and Front Row Motorsports, owned by businessman Bob Jenkins, are suing NASCAR over antitrust claims related to the charter system. A charter is the equivalent of a franchise and guarantees charter cars a place on the 40-car grid each week, as well as a significantly larger share of the payments. NASCAR offered teams its final offer on charter extensions, but 23XI and Front Row refused to sign. The teams have also appealed for the charter status to be reinstated, but NASCAR argued in court that it has a buyer interested in one of the six charters previously held by 23XI and FRM, and plans to redistribute the charters immediately. NASCAR maintains that by refraining from redistributing the charters, 23XI and FRM are no longer at risk of irreparable harm. The teams argued that the threat still exists “due to the risk of claims for breach of contract from their irreplaceable drivers and the loss of sponsors in the absence of charter rights.” Tyler Reddick, from 23XI, has a clause in his contract stating that the team would be in breach if his Toyota doesn’t have a charter. Jeffrey Kessler, the lawyer for both teams, indicated in court that Reddick has notified 23XI that it is in breach. Bell wrote in his decision that “the loss of ‘fixed’ charter payments and the uncertainty of ongoing relationships with pilots and sponsors can be compensated with monetary damages at trial or are simply inherent in the risks associated with the lawsuit”.We are grateful that Judge Bell has made it clear that the status quo remains, protecting my clients’ rights to recover their charters if they prevail at trial and ensuring their ability to continue competing during the 2025 season based on NASCAR’s commitments.
Jeffrey Kessler, attorney for the teams
