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

Financial Stakes and a Will to Win

The owner disclosed financial and corporate details of his 23XI team, saying he invested $40m of his own funds into the Nascar Cup series team launched with partner Polk and driver 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 in its entirety. I felt as far as the sport it needed to be looked at through a new lens.”

The Core Dispute: Charter Agreements and Renewal Demands

The heart of the case involves the end of a 2016 agreement where Nascar granted each team a “charter”. This system mirrors 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 demanded teams renew their charters.

Jordan testified for about sixty minutes and exited the courthouse to a media frenzy, with onlookers and reporters clamoring for a glimpse or a picture of the global icon.

Leading the Legal Charge

23XI Racing is at the forefront of the push along with another racing team for Nascar to overhaul a business model Jordan contended is unlawful to keep two hands on the wheel.

For Jordan and and a fellow team representative, who preceded Jordan, are events from September 2024. Gibbs described a hectic and tense six hours where the racing circuit informed teams they must sign a charter agreement extension. This agreement spanned 112 pages detailing team compensation and a guaranteed entry in every race.

Choosing Litigation

Jordan said that his team and its ally decided their only feasible option was to refuse a signature that extensive document and litigate the matter. All other teams agreed to the terms.

The team owners approached Nascar about possible changes or extension options. Nascar wasn’t talking, Jordan said.

The Bottom Line: Winning

But in the end, the resistance 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 improved our chances to win,” he said, sharing that he bought a third charter late in 2024 for $28m despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

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

According to her, Joe Gibbs first attempted to call and persuade Nascar against demanding signatures, but Nascar’s leader refused the appeal.

“Please don’t force this on us,” Heather Gibbs said was the message to Nascar’s leadership. She said France replied, “Whether I have 20 charters, I have 20. If I have 30, I have 30.”