Claiming the antitrust suit filed by 23XI Racing and Front Row Motorsports is an assault on NASCAR’s Charter system, the sanctioning body has asked a federal judge to grant a summary judgement that would prevent the case from going to trial.
Friday’s filing in US District Court in Charlotte, North Carolina, came less than a month after the two race teams requested US District Judge Kenneth D. Bell grant a summary judgement against NASCAR, claiming the sanctioning body’s amended counterclaim lacked “legal and factual merit.” That document maintains NASCAR is operating in violation of the Sherman Antitrust Act.
NASCAR created the Charter system for the Cup Series at the teams’ request in order to establish a more stable and sustainable foundation for the sport. When it made its debut in 2016, it was designed to deliver three key items to the Charter teams:
- Increased enterprise value.
- Guaranteed entry into the series 36-points paying events to support sponsorship efforts.
- Greater financial stability for teams that meet minimum performance standards.
The 2025 NASCAR Charter agreement was signed by 13 of the 15 teams that owned Charters after more than two years of negotiation. One major change in the current Charter is the financial amount the teams receive from NASCAR’s media revenue. It has increased to 49% from 37% in the previous agreement.
“Today’s (Friday) filing demonstrates that NASCAR’s charter system has the support of race teams throughout the garage, and that the 23XI Racing and Front Row Motorsports lawsuit is not in the best interests of the sport. This lawsuit is not about antitrust; it is merely an attempt to renegotiate an agreement that was signed and is being honored by all other race teams,” NASCAR said in a prepared statement.
Nine of the 13 teams that signed the current Charter agreement and two former Charter owners filed documents supporting NASCAR’s Charter program. Those giving declarations in support of NASCAR were Rick Hendrick, Brad Keselowski, Roger Penske, Gordon Smith of Hyak Motorsports, Rick Ware, Cal Wells of Legacy Motor Club, Jon Wood, Richard Childress, Joe Gibbs, Carl Long and B.J. McLeod. The teams possessing Charters that didn’t submit declarations were Trackhouse Racing, Kaulig Racing, Spire Motorsports and Haas Factory Team.
“The declarations submitted by the various teams are supportive of my clients’ positions,” Jeffrey Kessler, attorney for 23XI Racing and Front Row Motorsports, said in a prepared statement. “My clients are not, and never have been, seeking to eliminate the charter system. They have supported charters because teams cannot survive without them. The declarations from team owners and executives acknowledge this same economic reality. Nor do they excuse NASCAR’s anticompetitive conduct or its unlawful monopoly, points 23XI and Front Row have maintained from the start.
“Many teams have expressed a desire to resolve this matter, a goal my clients share, but NASCAR has yet to demonstrate a similar willingness to engage in meaningful resolution.
“This lawsuit has always been about making NASCAR more competitive and fair for the benefit of drivers, sponsors, teams, and fans who love the sport. NASCAR’s new motion changes nothing and we look forward to presenting our case at trial on December 1.”