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The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, stated that his competitive side and novelty within the sport emboldened his push for 23XI Racing to “challenge” Nascar over perceived violations of competition laws.

Team Investment and a Will to Win

The owner disclosed operational insights of his 23XI team, revealing he invested $40m of his own funds into the Cup Series operation launched with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan stated during testimony. “As a newcomer, I had no fear. I believed I could take on Nascar as a whole. From my perspective, the sport it needed to be looked at from a different view.”

The Core Dispute: Franchise System and Renewal Demands

At issue is the expiration of a 2016 deal where Nascar provided each team a “charter”. This system mirrors other professional sports with separately owned franchises, such as the NBA’s Hornets or the NFL’s Panthers. The agreement was due to end in 2024 when Nascar demanded teams renew their charters.

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

Leading the Legal Charge

Jordan’s 23XI is at the forefront of the push along with another racing team for Nascar to overhaul a business model Jordan contended is unlawful to maintain excessive control.

For Jordan and and a fellow team representative, who preceded Jordan, are details from last September. She recounted a hectic and tense six hours where the racing circuit told teams they must sign a contract extension. The document spanned over a hundred pages outlining pay for chartered teams and a guaranteed spot in every race.

Choosing Litigation

Jordan explained that 23XI and Front Row Motorsports decided their only feasible option was to refuse a signature that 112-page package and take the issue to court. The other 13 organizations agreed to the terms.

The team owners approached Nascar about potential amendments or negotiations. Nascar refused to engage, according to his testimony.

The Bottom Line: Winning

But in the end, the pushback against what he saw as a financially unsustainable model was driven by the usual bottom line for Jordan: Success.

“Hamlin persuaded me getting a third driver boosted our odds of winning,” he testified, sharing that he bought a third charter late in 2024 for $28m despite the uncertainty. “So I dove in.”

Account from the Gibbs Family

Gibbs described her request for permanent charters, which she said a written letter to Nascar. She said the pressure of the signature deadline didn’t sit well.

According to her, the team founder first attempted to call and talk Nascar out of demanding signatures, but Nascar’s leader declined the request.

“Please don’t force this on us,” Gibbs recounted Joe Gibbs told 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.”