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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 alleged violations of antitrust rules.

Financial Stakes and a Competitive Drive

Jordan shared financial and corporate details of his 23XI team, revealing he put in $40m of his own funds into the Nascar Cup series team co-founded with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan said in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I felt I could challenge Nascar in its entirety. From my perspective, the sport required examination through a new lens.”

Central Issue: Franchise System and Renewal Demands

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

Jordan testified for about sixty minutes and left the court to a media frenzy, with fans and media vying for a view 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 overhaul a operating model Jordan contended is unlawful to keep two hands on the wheel.

At issue for Jordan and Heather Gibbs, who preceded Jordan, are details from September 2024. Gibbs described a frantic and emotional period where the sanctioning body informed teams they had to sign a contract extension. This agreement spanned over a hundred pages outlining pay for chartered teams and a guaranteed spot in Nascar-sponsored races.

Choosing Litigation

Jordan explained that 23XI and Front Row Motorsports concluded their sole viable path was to decline to sign that 112-page package and litigate the matter. All other teams 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 resistance against what he saw as a unsustainable system was mostly about the familiar goal for Jordan: Winning.

“Denny convinced me getting a third driver improved our chances to win,” he testified, noting that he bought a third charter late in 2024 for $28m despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her request for permanent charters, submitted in a formal letter to Nascar. She testified the pressure of the signature deadline didn’t sit well.

She said, the team founder first tried to call and persuade Nascar against forcing signatures, but Nascar’s leader declined the request.

“Don’t do this to us,” Heather Gibbs said was the message to Nascar’s leadership. The response was, “Whether I have 20 charters, I have 20. If there are 30, that’s the number.”