NASCAR lawsuit: 23XI, Front Row file petition for US Court of Appeals to rehear preliminary injunction decision

23XI Racing and Front Row Motorsports have filed a petition with the U.S. Court of Appeals for the Fourth Circuit requesting a rehearing of the preliminary injunction decision. The Court of Appeals made its decision June 5, vacating the preliminary injunction that granted charter status to 23XI and Front Row.

There was a 14-day window for the teams to ask the case to be heard by the entire panel of judges at the Court of Appeals. Friday was the deadline. According to Bob Pockrass of FOX Sports, “This will delay them losing the charters until seven days after the decision not to hear it again or a rehearing/decision.”

Jeffrey Kessler, attorney for 23XI and Front Row, released a statement. Kessler said that if the ruling is upheld, it “would set a dangerous precedent, allowing monopolists to shield themselves from legal challenges simply by requiring release language as a condition of doing business with the monopoly.”

Jeffrey Kessler statement on latest from NASCAR lawsuit

“Today, we filed a petition with the U.S. Court of Appeals for the Fourth Circuit requesting a rehearing before the full court,” Kessler wrote, via Jeff Gluck of The Athletic. “This follows a panel decision that reversed a District Court ruling granting a preliminary injunction, which had allowed 23XI and Front Row to compete as chartered teams during the 2025 season while pursuing their antitrust claims. The panel’s decision does not address the merits of our case. It was based solely on a narrow question: whether the release of claims in the charter agreement could be considered anticompetitive.

“If upheld, the ruling would set a dangerous precedent, allowing monopolists to shield themselves from legal challenges simply by requiring release language as a condition of doing business with the monopoly. Our lawsuit is about making NASCAR more competitive and fair. The release provision is just one of many anticompetitive tactics NASCAR has used to preserve its monopoly. We remain fully confident in our case and are committed to racing the full season — regardless of the outcome of this petition.”

Federal judge concerned for 23XI, FRM and NASCAR amid heated lawsuit: ‘Scares me to death’

23XI and Front Row filed their antitrust lawsuit against NASCAR and its CEO Jim France Oct. 2, 2024. The antitrust lawsuit stemmed from 23XI and Front Row opting not to sign NASCAR’s final charter proposal last September at Atlanta Motor Speedway. Teams negotiated an extension of the original 2016 charter agreement for two years ahead of its Dec. 31 expiration.

23XI and Front Row were the two holdouts among the 15 Cup Series teams. The final offer included a nearly 50 percent increase that teams earned from NASCAR’s record $1.1 billion per year television deal that went into effect in 2025 and also runs through 2031.

23XI, Front Row and NASCAR went to court on Tuesday. Judge Ken Bell of North Carolina’s Western District urged both sides to settle before the case goes to trial Dec. 1.

“It’s hard to picture a winner if this goes to the mat — or to the flag — in this case,” Bell said. “It scares me to death to think about what all this is costing.”