🔗 Share this article

The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, admitted that his drive to win and novelty within the sport emboldened his effort with 23XI Racing to confront Nascar over perceived violations of competition laws.

Financial Stakes and a Will to Win

The owner disclosed financial and corporate details of his racing venture, saying he put in $40m of his own funds into the Nascar Cup series team co-founded with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan said in the Charlotte courtroom. “I was a new person, I wasn’t afraid. I believed I could take on Nascar as a whole. From my perspective, the sport required examination from a different view.”

The Core Dispute: Charter Agreements and Renewal Demands

At issue is the expiration of a 2016 deal where Nascar granted each team a “charter”. The concept is similar to other professional sports with separately owned franchises, such as the Charlotte Hornets or the NFL’s Panthers. This deal was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for about sixty minutes and left the court to a media frenzy, with onlookers and reporters 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 another racing team for Nascar to change a operating model Jordan contended is unlawful to keep two hands on the wheel.

At issue for Jordan and a fellow team representative, who testified before Jordan, are events from last September. Gibbs described a hectic and tense six hours where the racing circuit informed teams they had to sign a charter agreement extension. The document consists of over a hundred pages outlining team compensation and a guaranteed entry in every race.

Choosing Litigation

Jordan said that his team and its ally decided their only feasible option was to refuse a signature that extensive document and take the issue to court. All other teams signed the agreement.

The team owners reached out to Nascar about possible changes or extension options. Nascar wasn’t talking, Jordan said.

The Ultimate Motivation: Winning

Ultimately, the pushback against what he saw as a unsustainable system was mostly about the familiar goal for Jordan: Winning.

“Hamlin persuaded me adding a third car improved our chances to win,” he said, sharing that he bought a third charter late in 2024 for $28m amid the legal dispute. “So I took the plunge.”

Heather Gibbs’ Testimony

Gibbs described her request for permanent charters, which she said a written letter to Nascar. She testified the timing of the contract signing demand was problematic.

She said, the team founder first tried to call and persuade Nascar against demanding signatures, but CEO Jim France refused the appeal.

“Don’t do this to us,” Heather Gibbs said was the message to Nascar’s leadership. She said France replied, “If I wake up and I have 20 charters, that’s what I have. If there are 30, I have 30.”