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

Team Investment and a Will to Win

The owner disclosed financial and corporate details of his racing venture, saying he put in $40 million of his personal wealth 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. “I was a new person, I had no fear. I felt I could challenge 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

The heart of the case involves the expiration of a 2016 agreement where Nascar granted each team a “charter”. This system mirrors other major leagues with separately owned franchises, like the NBA’s Hornets or the Carolina Panthers. This deal was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan testified for an hour and exited the courthouse to pandemonium, with onlookers and reporters clamoring for a view or a photo of the sports legend.

Spearheading the Fight

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

At issue for Jordan and Heather Gibbs, who preceded Jordan, are events from September 2024. She recounted a hectic and tense period where the racing circuit informed teams they had to sign a contract extension. The document spanned over a hundred pages detailing team compensation and a guaranteed spot in every race.

Choosing Litigation

Jordan said that 23XI and Front Row Motorsports concluded their only feasible option was to decline to sign that 112-page package and take the issue to court. The other 13 organizations signed the agreement.

Jordan and co-owner Denny Hamlin reached out to Nascar about potential amendments or negotiations. Nascar refused to engage, Jordan said.

The Ultimate Motivation: Victory

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

“Denny convinced me getting a third driver 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

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

She said, Joe Gibbs first tried to call and persuade Nascar against demanding signatures, but CEO Jim France refused the appeal.

“Please don’t force this on us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. The response was, “If I wake up and I have 20 charters, I have 20. If I have 30, I have 30.”