BROOKLYN, Mich. — Joe Gibbs Racing driver Denny Hamlin is unfazed that a three-judge federal appellate panel vacated an injunction that required NASCAR to recognize 23XI Racing, which he co-owns, and Front Row Motorsports as chartered Cup Series teams even as those two organizations sue the stock-car sanctioning body.
“That’s just such a small part of the entire litigation,” Hamlin said Saturday at Michigan International Speedway, two days after the ruling was issued from the Fourth Circuit Court of Appeals in Richmond, Virginia, and a day ahead of a Cup Series race at the track in Brooklyn. “I’m not deterred at all. We’re in good shape.”
Hamlin co-owns 23XI Racing with retired NBA star Michael Jordan and Curtis Polk, the basketball great’s longtime business partner. Front Row Motorsports is owned by entrepreneur Bob Jenkins.
Hamlin said Jordan feels the same way.
“He just remains very confident, just like I do,” Hamlin said.
NASCAR has not commented on the latest ruling.
The two teams sued NASCAR late last year after refusing to sign new agreements on charter renewals. They asked for a temporary injunction that would recognize them as chartered teams for this season and received it last December from U.S. District Judge Kenneth Bell of the Western District of North Carolina.
But this past week, a month after a court hearing in Richmond, the trio of judges said NASCAR no longer had to follow that protocol.
“We’re looking at all options right now,” Hamlin said.
The three-car teams, each winless this year, said they needed the injunction because the current charter agreement prohibits them from suing NASCAR. In the case of 23XI, they also argued their organization would be harmed because driver Tyler Reddick’s contract would have made him a free agent if the team could not guarantee him a charter-protected car.
Hamlin insisted he’s not worried about losing drivers because of the uncertainty.
“I’m not focused on that particularly right this second,” he said.
Reddick, who was last year’s regular-season champion and was one of the four drivers competing for the Cup Series title in last year’s season finale, enters the race Sunday at Michigan at sixth in the points standings with the regular season in its second half.
The charter system is similar to franchises in other sports, but the charters are revocable by NASCAR and have expiration dates.
The six teams may have to compete as “open” cars and would have to qualify on speed each week to make the race and would receive a fraction of the money. Without a charter, Hamlin said it would cost the teams “tens of millions,” to run three cars.
“We’re committed to run this season open if we have to,” he said. “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.”
A trial for the antitrust lawsuit isn’t set to begin until December.
NASCAR has not said what it would do with the six charters held by the two organizations if they are returned to the sanctioning body. There are 36 chartered cars for a 40-car field.
“We feel like facts were on our side,” Hamlin said. “I think if you listen to the judges, even they mentioned that we might be in pretty good shape.”