Even after a legal victory helped reshape NASCAR’s charter landscape, 23XI Racing may still be dealing with fallout from its high-profile fight with the sport’s governing body. At least that’s what former Cup champion Kevin Harvick thinks.
Speaking on the latest episode of Kevin Harvick’s Happy Hour, Harvick said that while team ownership publicly showed unity following the settlement, the uncertainty surrounding the lawsuit likely created real challenges behind the scenes. Particularly when it came to staffing and long-term stability.
“I did like the fact that they stood up there together and gave solidarity statements,” Harvick said. “But I think there were still a lot of question marks. ‘Is this team actually still going to be here? If they lose, I don’t want to go to work there right now.’”
Continuing, Harvick suggested the uncertainty surrounding the lawsuit may have caused 23XI to miss out on hiring opportunities during a critical growth period, as they look to become one of the premier teams in the Cup Series.
“I feel like they probably missed out on the opportunity of hiring some employees along the line because of the fight that they were in,” Harvick added. “There are still things that, from a team standpoint, 23XI is going to have to build back up.”
Alas, the comments come after NASCAR formally presented teams with its updated Cup Series Charter Agreement, which includes permanent charters, a key point of contention in the legal dispute. Team co-owner Denny Hamlin confirmed at a recent preseason media event that 23XI has now signed the agreement following a settlement between NASCAR, 23XI and Front Row Motorsports.
The lawsuit stemmed from teams declining to sign the previous charter agreement, which Hamlin harshly criticized during court testimony: “I didn’t sign because I knew this was my death certificate for the future,” Hamlin said at trial, arguing that the original agreement limited team growth and long-term value.
In the wake of the settlement, charter values have reportedly surged across the sport. According to industry reporting, several executives believe values jumped almost overnight after charters were made permanent. The most recent market reset occurred when Legacy Motor Club purchased a charter from Rick Ware Racing for $45 million, with projections now suggesting future valuations could exceed $50 million.
While the legal battle ultimately produced a favorable outcome for teams, Harvick’s point remains clear, and that’s the fact that victories off the track don’t always come without consequences. For 23XI, rebuilding momentum internally may be the next challenge now that the courtroom fight is over.
— On3’s Nick Geddes contributed to this article.