🔗 Share this article

The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, stated that his drive to win and novelty within the sport motivated his effort with 23XI Racing to confront Nascar over alleged violations of antitrust rules.

Team Investment and a Competitive Drive

The owner disclosed financial and corporate details of his racing venture, saying he invested $40 million of his personal wealth 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 felt I could challenge Nascar in its entirety. From my perspective, the sport required examination through a new lens.”

Central Issue: 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 major leagues with independent franchises, like the Charlotte Hornets or the Carolina Panthers. The agreement was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan testified for an hour and left the court to pandemonium, with onlookers and reporters clamoring for a view or a picture of the sports legend.

Spearheading the Fight

Jordan’s 23XI is at the forefront of the push along with Front Row Motorsports for Nascar to overhaul a operating model Jordan said is breaking the law to keep two hands on the wheel.

At issue for Jordan and Heather Gibbs, who testified before Jordan, are details from September 2024. She recounted a hectic and tense period where the sanctioning body told teams they had to sign a contract extension. The document consists of 112 pages outlining pay for chartered teams and a guaranteed entry in every race.

Choosing Litigation

Jordan said that his team and its ally decided their only feasible option was to decline to sign that 112-page package and litigate the matter. The other 13 organizations agreed to the terms.

Jordan and co-owner Denny Hamlin approached Nascar about possible changes or extension options. Nascar refused to engage, Jordan said.

The Ultimate Motivation: Victory

But in the end, the resistance against what he saw as a financially unsustainable model was mostly about the familiar goal for Jordan: Success.

“Denny convinced me adding a third car improved our chances to win,” he testified, sharing that he purchased another franchise last year for $28m amid the legal dispute. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her request for permanent charters, submitted in a formal letter to Nascar. She testified the timing of the contract signing demand didn’t sit well.

According to her, Joe Gibbs first attempted to call and talk Nascar out of forcing signatures, but CEO Jim France refused the appeal.

“Please don’t force this on us,” Heather Gibbs said was the message to Nascar’s executives. The response was, “If I wake up and I have 20 charters, that’s what I have. If I have 30, that’s the number.”