23XI, FRM vs. NASCAR lawsuit: Plaintiffs file hail mary on illegal collusion claim

23XI Racing, Front Row Motorsports and 23XI co-owner Curtis Polk filed a motion Wednesday on proposed page limits asking for summary judgment to throw out NASCAR‘s counterclaim that the teams illegally colluded to obtain more money in the 2025 Charter Agreement. per Bob Pockrass of FOX Sports. NASCAR’s counterclaim, filed back in March, says that the parties involved “willfully violated the antitrust laws by orchestrating anticompetitive collective conduct.”

In the counterclaim, NASCAR accused the teams of being an “illegal cartel.” NASCAR added that Polk “agreed to a scheme to pressure NASCAR to accept their collusive terms, including by engaging in media campaigns, interfering with NASCAR’s broadcast agreement negotiations, threatening boycotts of NASCAR events and engaging in a group boycott of a NASCAR Team Owner Council Meeting.”

Last week, Polk hired Eric Hochstadt, the Head of Antitrust Litigation at Orrick Herrington & Sutcliffe, in New York City, to represent him in the counterclaim. Hochstadt has worked on many cases in the antitrust world. He has represented companies such as Meta, Visa, H&R Block and Grubhub.

Of the 15 Cup Series teams that hold the 36 available charters, 23XI and FRM were the only teams that did not sign the Charter Agreement last August. They filed a joint lawsuit against NASCAR and its CEO Jim France in October, alleging monopolistic practies. 23XI and FRM, who have been racing as open teams since July, filed a preliminary injunction request to regain their charter status for the remainder of the 2025 season.

Judge Kenneth Bell ruled against the teams last Wednesday, noting that NASCAR agreed to leave six charters out of 40 available pending the outcome of the case. That keeps 23XI and FRM from being subject to “irreparable harm.”

23XI, FRM lawsuit against NASCAR continuing on

The trial is scheduled to begin Dec. 1. Judge Bell warned both sides that whatever the outcome, this could fundamentally change how NASCAR looks in 2026.

“The uncertainty about what the 2026 season will look like unfortunately exists not just for the Parties,” Bell wrote, “but for the other teams, drivers, crews, sponsors, broadcasters and, most regrettably, the fans.”

According to Alex Zietlow of The Charlotte Observer, NASCAR commissioner Steve Phelps directly told the 13 Cup teams that signed the Charter Agreement that if 23XI and FRM’s request was denied in court, they would gain $1.5 million per charter. The $1.5 million figure has been calculated through two parts.

The first part is the amount of money NASCAR paid 23XI and FRM for the first 20 races of the season. NASCAR reportedly paid the two teams $25,146,300 in “fixed owner’s payments and performance payments,” and the other 30 charters would receive $838,210 once that money gets redistributed.

Then, there’s the second part — how much money the teams would receive if 23XI and FRM’s charter status was not restored for the remainder of the 2025 season. That number came out to approximately $670,000 per charter. Phelps closed the letter by stating the following, via Jordan Bianchi of The Athletic:

“This litigation continues to be a cloud over the season, which is unfortunate. We want the teams, drivers and growth of our sport to be the focus especially in a crowded sports landscape competing for fans, sponsors and media dollars. We thank you for helping to keep the focus on the positive things happening in the NASCAR Cup Series and we thank you for your partnership.”