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    23XI and FRM Sound the Alarm as NASCAR’s Charter Demands Pose an ‘Existential Threat’ to Teams

    Ahead of last weekend’s Round of 12 finale at ROVAL, the NASCAR world was in for a major update in the ongoing charter lawsuit. Team owners presented a united front in favor of preserving the charter status. Both 23XI Racing and Front Row Motorsports were dealt a huge blow following the act, given that NASCAR had just gained the support of almost the entire industry.

    Despite the setback, neither team appeared to go on the back foot. Instead, it presented them with an opportunity to turn the narrative in their favor, and having done that, they have a grim forecast in store for the future of the Cup Series.

    How Did 23XI and FRM Respond to the Unified Front From Team Owners?

    In early October, 23XI Racing filed a motion in the court asking NASCAR to define its market. Michael Jordan and Co. hoped this would expose the sport’s monopolistic practices.

    In response, NASCAR filed a counterclaim, including letters from several Cup Series team owners, backing the sport’s stance and making a case for the charter system. While NASCAR prefers a periodic renewal of the charters, team owners want to see a more permanent approach to the system.

    Following the same, 23XI and FRM have filed a response to the declaration, claiming the teams would have faced an “existential crisis” had they not succumbed to NASCAR’s pressure to provide the statements.

    Per Bob Pockrass on X, the latest statement says, “The team declarations NASCAR submitted with its summary judgment papers underscore the existential threat the teams faced when NASCAR made its take-it-or-leave-it charter demand.”

     

    Meanwhile, Dale Earnhardt Jr., via his “Dale Jr. Download” podcast, claimed that there is “real fear” within the sport about the lawsuit, especially given its detrimental effects in the long run.

    With the case turning ugly and personal on several occasions, many people have already started walking away from the sport, and the latest statement could well be another nail in the coffin.

    Notably, the shocking allegation from the complainants comes shortly after Judge Kenneth Bell mandated a potential settlement conversation for Oct. 21, two days before the court heard of the summary motion. The court order has been welcomed by all parties involved in the case and by the people involved in the sport otherwise.

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