NASCAR is trying to screw over a team that no longer exists

As a die-hard NASCAR fan with decades of racing lore etched into my heart, I can’t help but feel a mix of emotions as I follow this unfolding drama between NASCAR, 23XI Racing, Front Row Motorsports, and the charter agreements.

Currently, NASCAR is facing a challenging predicament due to a court decision this week that went in favor of the two teams suing the sanctioning body and its chairman, Jim France.

23XI Racing and Front Row Motorsports received some much-desired positive news, as a court decision granted them permission to sign the charter agreement even while they continue with their ongoing legal case.

The decision came after several months of litigation in response to the two teams’ decisions not to sign the charter agreement like the other teams that officially account for 30 of the 36 charters.

23XI Racing and Front Row Motorsports have been granted permission to compete as established teams in the 2025 season with their current charters. This decision also prevents NASCAR from impeding the sale of additional charters to these teams, enabling them to acquire one each, as they originally intended.

Do the math, and you get back up to 36 charters.

Instead of being satisfied with the result, NASCAR plans to contest it by filing an appeal. In essence, this move could potentially disadvantage a team that has already disbanded.

23XI Racing and Front Row Motorsports have been given permission by NASCAR to compete as chartered teams, but they are restricted to just their current two racing slots. The advantages associated with being a charter member will be postponed for both teams at this time.

NASCAR is requesting a postponement in enforcing the preliminary injunction, aiming to prolong the process and prevent the transfer of Stewart-Haas Racing charters to the two new teams. Essentially, they are trying to halt these acquisitions from moving forward.

Achieving success at NASCAR implies the number of charters will decrease to 34 again, with the two remaining charters being owned by a team that is no longer operational.

After the 2024 season, Stewart-Haas Racing closed its operations. Two out of their four charters were relocated for the 2025 season. Gene Haas, one of the team’s co-owners, kept one of these two charters to establish a new one-car Haas Factory Team. The remaining charter was taken by Trackhouse Racing. Similar to 23XI Racing and Front Row Motorsports, Trackhouse Racing has grown to field three cars for the 2025 season.

Initially, it was decided that NASCAR prevented the transfer of Stewart-Haas Racing’s additional two charters to 23XI Racing and Front Row Motorsports due to this legal dispute. However, it appears there were also other inquiries about obtaining these charters.

The problem is that several would-be candidates to add charters for next year are no longer in play, and as the 2025 season nears, it becomes less and less likely that a team would make a last-minute decision to add a full-time entry.

Essentially, this implies that Stewart-Haas Racing may not receive the approximately $20 million they anticipated from each charter, because over time, the value of these charters tends to decrease.

In simpler terms, it seems that Charter agreements work out favorably for both 23XI Racing and Front Row Motorsports. Among these teams, Denny Hamlin’s team, being jointly owned by him and Michael Jordan, stands to gain the most. This is because Tyler Reddick, under his contract, is obligated to drive a chartered car, thereby reducing the risk of him leaving the team.

Regardless of the plans, both racing teams intend to field three vehicles each. Already confirmed for 23XI Racing are Riley Herbst, Kyle Reddick, and Bubba Wallace. Front Row Motorsports is anticipated to announce Zane Smith as a teammate to Todd Gilliland and Noah Gragson.

If the judge rules in favor of NASCAR, it could be problematic following this week’s decision, but it wouldn’t significantly impact NASCAR. On the other hand, such a ruling could cause major issues for a team that has essentially disbanded, leaving two teams without a base, and with few potential buyers, just under two months before the 2025 season begins.

According to reports, the charter agreement between NASCAR and Stewart-Haas Racing must allegedly be finalized by this coming Saturday, December 20th. Therefore, a decision is anticipated to be made by NASCAR regarding this matter on this upcoming Friday, December 19th.

If NASCAR proceeds with their current plans, Gene Haas might consider filing a lawsuit due to the perceived undervaluation of the blocked charters. This week’s decision is a positive step, but it leaves many unanswered questions about the future.

In simple terms, the NASCAR Cup Series’ 2025 season kickoff will take place on February 2nd at Bowman Gray Stadium with the Busch Light Clash preseason race. The main season of 36 races, including the 67th annual Daytona 500, will commence on February 16th at the Daytona International Speedway.

2024-12-20 16:32