Front Row Motorsports’ plea for an injunction to compel NASCAR to authorize its own charter purchase from the defunct Stewart-Haas was approved last week by the federal judge presiding over the antitrust case. Since it was not expressly sought in the applications up to that point, 23XI was not given their own SHR charter.
After Christmas, NASCAR will submit an appeal to the Fourth District court in Richmond, Virginia, challenging both that ruling and Judge Kenneth D. Bell’s order to recognize 23XI and Front Row as though they had charters for the 2025 Cup Series.
Since Bell would have probably approved it using the same justification it used for the Front Row Motorsports order, NASCAR has consented to move forward with the 23XI charter acquisition from SHR while the appeal is pending out of expediency and convenience.The Sanctioning Body can now proceed quickly to the Fourth District of Appeals since NASCAR no longer needs to wait for 23XI to file the motion and then for Judge Bell to make a decision.NASCAR took this action in accordance with the understanding that Front Row and 23XI would not utilize this ruling to support their charter request in their argument before the Fourth District. This can yet be reversed because it’s being appealed, should the
This was just a matter saving everyone time knowing the likely outcome of a 23XI motion to the district court.
- That’s the short version but the legal jargon version is below: In light of the Court’s Orders of December 18, 2024 (Dkt. 74), December 20, 2024 and December 23, 2024, 23XI and Defendants hereby stipulate and agree that the Court may enter the same preliminary injunction with respect to the transfer of a charter signed by Stewart-Haas Racing LLC to 23XI as the Court previously ordered with respect to Front Row Motorsports.
- Defendants make this stipulation and agreement solely for purposes of judicial economy and subject to the Court’s statements that it retains the equitable power to ‘unwind” the purchase of the Stewart-Haas Charters should Defendants prevail on their pending appeal or on the merits in the litigation
- Defendants’ stipulation and agreement is also subject to 23XI’s agreement, given here, that it will not make any argument that NASCAR’s stipulation and agreement to entry of the aforementioned preliminary injunction in any way deprives the Fourth Circuit of jurisdiction over, or otherwise impairs the Fourth Circuit’s ability to hear for any reason, Defendants’ appeal of the of the grant of the preliminary injunction regarding to the transfer of a charter signed by Stewart-Haas Racing LLC to 23XI.
- Defendants’ stipulation and agreement is also subject to 23XI’s agreement, given here, that NASCAR’s stipulation and agreement to entry of the aforementioned preliminary injunction is without prejudice to and has no impact on Defendants’ right to assert counterclaims.
