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The basketball icon, introducing himself formally in a federal courtroom on Friday, stated that his drive to win and novelty within the sport motivated his push for 23XI Racing to “challenge” Nascar over alleged violations of antitrust rules.

Financial Stakes and a Competitive Drive

The owner disclosed operational insights of his 23XI team, revealing he put in $40m of his own funds into the Nascar Cup series team launched with partner Polk and longtime driver Denny Hamlin.

“It fell to someone to act,” Jordan stated during testimony. “As a newcomer, I wasn’t afraid. I believed I could take on Nascar in its entirety. I felt as far as the sport it needed to be looked at from a different view.”

The Core Dispute: Charter Agreements and Renewal Demands

At issue is the end of a 2016 agreement where Nascar provided each team a franchise. The concept is similar to other professional sports with independent franchises, like the NBA’s Hornets or the Carolina Panthers. This deal was due to end in 2024 when Nascar insisted on teams renew their charters.

Jordan was on the witness stand for an hour and exited the courthouse to a media frenzy, with fans and media clamoring for a glimpse or a picture of the global icon.

Spearheading the Fight

Jordan’s 23XI is at the forefront of the push along with another racing team for Nascar to change 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 September 2024. She recounted a frantic and emotional six hours where the racing circuit informed 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 concluded their sole viable path was to decline to sign that 112-page package and take the issue to court. The other 13 organizations agreed to the terms.

The team owners approached Nascar about possible changes or extension options. Nascar refused to engage, Jordan said.

The Bottom Line: Victory

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

“Hamlin persuaded me getting a third driver boosted our odds of winning,” 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

Heather Gibbs detailed her request for permanent charters, submitted in a formal letter to Nascar. She said the pressure of the signature deadline was problematic.

She said, Joe Gibbs first tried to call and talk Nascar out of forcing signatures, but CEO Jim France refused the appeal.

“Please don’t force this on us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. She said France replied, “Whether I have 20 charters, that’s what I have. If there are 30, that’s the number.”