U.S. District Judge Frank D. Whitney on Friday denied a motion for a preliminary injunction sought by Michael Jordan-owned 23XI Racing and Front Row Motorsports in their antitrust lawsuit against NASCAR.
The development means that—for the time being—23XI Racing and Front Row Motorsports are denied an injunction that would allow them to compete as de facto chartered teams without having signed the charter and would effectively nullify the release as it pertains to antitrust claims. The two teams contend NASCAR and its CEO, James France, have exploited and suppressed control over premier stock racing car teams, an accusation NASCAR denies.
Whitney found 23XI Racing and Front Row Motorsports failed to meet the high burden for obtaining a preliminary injunction because their alleged harms are speculative and uncertain. The judge stressed the two plaintiffs forecast a potential loss of goodwill, but it is “contingent on a host off events occurring” and “speculation about how third parties may or may not act.”
Whitney also was unmoved by the “possibility” that NASCAR could exclude open teams. He found that unconvincing since 23XI Racing and Front Row Motorsports “could sign open contracts today and continue racing in 2025.” The two teams have instead “chosen not” to sign, the judge stressed, because they haven’t been able to negotiate a contract they’d accept.
“At this stage,” Whitney bluntly wrote, “the teams are no closer to irreparable harm than they are to the command, ‘Drivers, start your engines,’ at the first race of the 2025 season.”
The judge also underscored that 23XI Racing and Front Row Motorsports apparently don’t need an injunction to continue their business operations. He explained that preliminary injunctions are more likely to be granted when the party seeking one “cannot survive absent a preliminary injunction,” whereas Jordan’s group hasn’t made that claim.
Another problem for 23XI Racing and Front Row is they didn’t assert they face a current prospect of losing sponsors or losing drivers that would necessitate a preliminary injunction. Instead, they’ve described those harms as only possibilities. For instance, drivers might not want to compete as open teams—but maybe they would be willing. Those types of theoretical harms, Whitney wrote, are “too speculative to merit a preliminary injunction.”
Although Whitney denied the motion, he noted that “should circumstances change”—such as an actual loss of sponsors or drivers—23XI Racing and Front Row Motorsports could file a renewed motion for a preliminary injunction. Whitney also wrote he intends to “assign this case to the fast track” by accelerating speeding up the dates by which the parties must file briefs.
To be clear, Whitney’s denial of a preliminary injunction does not mean Jordan’s group will lose the case. It does mean, however, that the plaintiffs won’t get swift relief. To the extent 23XI Racing and Front Row Motorsports want to defeat NASCAR, they need to be prepared to wage the long fight of antitrust litigation, which can last many years.
The plaintiffs’ attorney, Jeffrey Kessler, offered a positive spin on Whitney’s ruling and drew attention to the judge moving the case to the fast track.
“We are pleased with the court’s decision to expedite discovery and fast track the schedule in our case against NASCAR,” Kessler expressed in a statement shared with media. “Although we are disappointed that the preliminary injunction was denied without prejudice and as premature, which we intend to appeal, this denial has no bearing on the merits of our case. My clients will move forward to race in 2025 and continue to fight for a more fair and equitable system in NASCAR that complies with antitrust law.”
(This story has been updated to include Kessler’s statement to the media.)
