Michael Jordan-owned 23XI Racing face losing 'tens of millions' after major NASCAR court ruling

23XI Racing - the NASCAR team co-owned by Michael Jordan - face losing tens of millions of dollars after a recent court ruling.

That is according to Cup Series star Denny Hamlin, who is also a co-owner of the team, alongside the NBA legend.

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Ahead of this weekend's race at Michigan, a federal appeals court overturned a key ruling previously made in the ongoing lawsuit between 23XI, Front Row Motorsports, and NASCAR.

After suing the stock car racing series last October after refusing to sign up to NASCAR's new charter agreement, 23XI and FRM won a preliminary injunction that allowed them to race with chartered status in 2025.

However, that decision has now been overturned, meaning that NASCAR could now strip both teams of their three respective charters.

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Denny Hamlin: Losing charters would cost tens of millions

If that happens, 23XI and FRM would be forced to enter each race weekend as 'open' teams, meaning they would have to qualify their way in, and, as revealed by Hamlin, have access to drastically less funds.

Asked by the media at Michigan what the difference was between running as a chartered team compared to an open team, Hamlin replied: "It's tens of millions, yeah, tens of millions."

Michael Jordan is yet to face the media in light of the court ruling, although Jeffrey Kessler, 23XI and FRM attorney in this case, has issued the following statement.

"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 said.

"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.

"We remain confident in our case and committed to racing for the entirety of this season as we continue our fight to create a fair and just economic system for stock car racing that is free of anticompetitive, monopolistic conduct."

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