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The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, admitted that his drive to win and status as a newcomer emboldened his push for 23XI Racing to “challenge” Nascar over alleged violations of antitrust rules.

Team Investment and a Competitive Drive

Jordan shared financial and corporate details of his racing venture, saying he put in $40m of his personal wealth into the Cup Series operation co-founded with business partner Curtis Polk and longtime driver Denny Hamlin.

“It fell to someone to act,” Jordan said in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I felt I could challenge Nascar as a whole. From my perspective, the sport required examination through a new lens.”

Central Issue: Franchise System and Contract Pressure

At issue is the end of a 2016 deal where Nascar granted each team a “charter”. This system mirrors other major leagues 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 testified for an hour and left the court to pandemonium, with onlookers and reporters vying for a glimpse or a picture of the sports legend.

Spearheading the Fight

Jordan’s 23XI is leading the full-court press along with another racing team for Nascar to change a business model Jordan contended is breaking the law to keep two hands on the wheel.

For Jordan and and Heather Gibbs, who testified before Jordan, are events from September 2024. Gibbs described a hectic and tense period where the sanctioning body told teams they must sign a charter agreement extension. The document spanned 112 pages detailing pay for chartered teams and a guaranteed spot in every race.

A Refusal to Sign

Jordan explained that his team and its ally concluded their only feasible option was to decline to sign that extensive document and litigate the matter. The other 13 organizations signed the agreement.

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

The Ultimate Motivation: Victory

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

“Hamlin persuaded me getting a third driver improved our chances to win,” he said, noting that he purchased another franchise last year for $28m amid the legal dispute. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her push for indefinite franchises, which she said a formal letter to Nascar. She testified the pressure of the contract signing demand didn’t sit well.

According to her, Joe Gibbs first attempted to call and persuade Nascar against forcing signatures, but Nascar’s leader declined the request.

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