23XI Racing and Front Row Motorsports will compete next season as open teams in the NASCAR Cup Series.
“We are pleased to announce that NASCAR has removed the anticompetitive release requirement in its open agreement, which will now allow 23XI and Front Row Motorsports to race as open teams in 2025,” Jeffrey Kessler, the lead attorney for the teams, said in a statement. “My clients will continue their appeal to the 4th Circuit to issue an injunction so that they can run as chartered teams, therefore avoiding irreparable harm.
“Both race teams are pleased that they will continue to be a participant in this sport that they love while fighting to make it fair and just for all.”
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The issue with the clause is that it states legal claims cannot be brought against NASCAR. 23XI Racing and Front Row Motorsports want to be able to see litigation through while still competing but could not sign either agreement because of the clause.
The organizations did not sign the 2025 charter agreement or the open agreement when given a deadline by NASCAR in early September. In response, an antitrust lawsuit was filed in which 23XI Racing and Front Row Motorsports accused NASCAR and Jim France of anti-competitive practices and being monopolistic bullies.
A judge denied the initial request for a preliminary injunction to be recognized as charter teams next season while removing the release clause on Nov. 8. The following day, Denny Hamlin, one of the co-owners of 23XI Racing, said it was “TBD” if the organization races next year.
Kessler has asked for an expedited appeal. The first event of the 2025 season is Feb. 2.
An open team will be required to qualify for each race. However, charter teams have guaranteed starting spots and a larger portion of the prize money.
The lawsuit, meanwhile, will be assigned to the fast track for a quick resolution.