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The basketball icon, introducing himself formally in a Charlotte court on Friday, stated that his competitive side and status as a newcomer motivated his push for 23XI Racing to “challenge” Nascar over perceived violations of competition laws.

Financial Stakes and a Competitive Drive

Jordan shared financial and corporate details of his 23XI team, revealing he put in $40 million of his own funds into the Cup Series operation co-founded with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan stated in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I felt I could challenge Nascar in its entirety. I felt as far as the sport required examination from a different view.”

Central Issue: Franchise System and Contract Pressure

The heart of the case involves the end of a 2016 agreement where Nascar granted each team a “charter”. The concept is similar to other major leagues with separately owned franchises, like the Charlotte Hornets or the NFL’s Panthers. The agreement was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan testified for an hour and exited the courthouse to a media frenzy, with fans and media vying for a glimpse or a picture of the sports legend.

Spearheading the Fight

23XI Racing 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 maintain excessive control.

At issue for Jordan and Heather Gibbs, who preceded Jordan, are details from last September. She recounted a hectic and tense period where the sanctioning body informed teams they had to sign a contract extension. This agreement consists of 112 pages detailing pay for chartered teams and a guaranteed entry in every race.

Choosing Litigation

Jordan said that his team and its ally concluded their only feasible option was to refuse a signature that 112-page package and take the issue to court. All other teams agreed to the terms.

Jordan and co-owner Denny Hamlin approached Nascar about possible changes or negotiations. Nascar wasn’t talking, Jordan said.

The Ultimate Motivation: Winning

Ultimately, the pushback against what he saw as a financially unsustainable model was driven by 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 dove in.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her request for permanent charters, which she said a written letter to Nascar. She said the timing of the signature deadline was problematic.

According to her, the team founder first attempted to call and talk Nascar out of forcing signatures, but Nascar’s leader refused the appeal.

“Don’t do this to 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 I have 30, that’s the number.”