🔗 Share this article

The basketball icon, as he cordially introduced himself in a Charlotte court on Friday, stated that his drive to win and status as a newcomer emboldened his push for 23XI Racing to confront Nascar over perceived violations of antitrust rules.

Team Investment and a Competitive Drive

Jordan shared financial and corporate details of his racing venture, saying he invested $40 million of his personal wealth into the Nascar Cup series team launched with partner Polk and driver Hamlin.

“Someone had to step forward,” Jordan said in the Charlotte courtroom. “I was a new person, I wasn’t afraid. I felt I could challenge Nascar as a whole. I felt as far as the sport required examination through a new lens.”

Central Issue: Charter Agreements and Contract Pressure

The heart of the case involves the end of a 2016 agreement where Nascar granted each team a franchise. The concept is similar to other professional sports with separately owned franchises, like the NBA’s Hornets or the NFL’s Panthers. The agreement was due to end in 2024 when Nascar demanded charter membership renewals.

Jordan was on the witness stand for an hour and exited the courthouse to pandemonium, with fans and media vying for a view or a picture of the sports legend.

Leading the Legal Charge

23XI Racing is leading the full-court press along with Front Row Motorsports for Nascar to overhaul a business model Jordan contended is breaking the law to keep two hands on the wheel.

At issue for Jordan and Heather Gibbs, who testified before Jordan, are events from last September. Gibbs described a frantic and emotional six hours where the racing circuit told teams they must sign a contract extension. This agreement consists of over a hundred pages outlining pay for chartered teams and a guaranteed spot in every race.

Choosing Litigation

Jordan said that his team and its ally concluded their sole viable path was to decline to sign that extensive document and litigate the matter. The other 13 organizations signed the agreement.

The team owners approached Nascar about potential amendments or extension options. Nascar wasn’t talking, Jordan said.

The Ultimate Motivation: Winning

Ultimately, the resistance against what he saw as a unsustainable system was driven by the usual bottom line for Jordan: Success.

“Hamlin persuaded me getting a third driver improved our chances to win,” he said, sharing that he purchased another franchise late in 2024 for $28 million despite the uncertainty. “So I dove in.”

Account from the Gibbs Family

Gibbs described her push for indefinite franchises, which she said a formal letter to Nascar. She testified the timing of the signature deadline didn’t sit well.

According to her, the team founder first attempted to call and persuade Nascar against forcing signatures, but CEO Jim France refused the appeal.

“Don’t do this to us,” Gibbs recounted Joe Gibbs told Nascar’s executives. She said France replied, “If I wake up and I have 20 charters, I have 20. If I have 30, that’s the number.”