23XI Racing – co-owned by NBA icon Michael Jordan and three-time Daytona 500 winner Denny Hamlin – will have to give up their chartered status unless they file a petition
NASCAR sensation Denny Hamlin has declared that 23XI Racing, co-owned by himself and basketball legend Michael Jordan, will compete as an open team if stripped of their charter status, risking a multimillion-dollar deficit.
A temporary court order previously permitted the racing team to participate as a chartered outfit for 2024 without having signed the charter agreement, but it was overturned by a trio of judges from the Fourth Circuit Court of Appeals on Thursday.
23XI Racing, along with Front Row Motorsports, faces a June 19 deadline to challenge the verdict. The ruling’s effect won’t commence until a week past the June 26 deadline for the teams to file a petition.
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As uncertainty looms over 23XI Racing, Hamlin stands firm in his commitment to the sport, confirming that they will remain competitors even if labeled as an open team for 2025, regardless of the financial hit.
“Same as what we said in December is that we’re committed to run this season open if we have to, even before they decided on the injunction,” the renowned Daytona 500 champion remarked on Saturday.
Following a third-place qualification at Michigan International Speedway, Hamlin affirmed: “So we’re going to race and fulfill all of our commitments no matter what.
“We’re here to race. Our team is going to be here for the long haul and we’re confident of that.”
When questioned about the potential risk of losing drivers Tyler Reddick, Bubba Wallace, and Riley Herbst if the team were to become an open team, Hamlin responded candidly, “I’ve got so much to worry about. I’m not focused on that particularly right this second.”
Hamlin reassured his employees regarding their job security, despite the substantial financial implications of losing charters.
“One of the things we remain steadfast in saying is that nothing will change in their lives, and we’re going to make sure that everyone’s taken care of and everyone should plan on work as scheduled,” he emphasized.
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Following last week’s ruling, 23XI Racing and Front Row Motorsports attorney Jeffrey Kessler expressed his disappointment but did insist the team will continue its fight.
“We are disappointed by today’s ruling by the Fourth Circuit Court of Appeals and are reviewing the decision to determine our next steps,” Kessler stated, via NBC Sports.
“This ruling is based on a very narrow consideration of whether a release of claims in the charter agreements is anti-competitive and does not impact our chances of winning at trial scheduled for December 1.”