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The basketball icon, introducing himself formally in a federal courtroom on Friday, admitted that his competitive side and status as a newcomer motivated his push for 23XI Racing to “challenge” Nascar over alleged violations of competition laws.

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 co-founded with partner Polk and longtime driver Denny Hamlin.

“It fell to someone to act,” Jordan said in the Charlotte courtroom. “I was a new person, I had no fear. I believed I could take on Nascar in its entirety. From my perspective, the sport it needed to be looked at through a new lens.”

The Core Dispute: Charter Agreements and Contract Pressure

At issue is the end of a 2016 agreement where Nascar granted each team a “charter”. The concept is similar to other major leagues with separately owned franchises, such as the NBA’s Hornets or the NFL’s Panthers. The agreement was due to end in 2024 when Nascar demanded charter membership renewals.

Jordan testified for about sixty minutes and left the court to a media frenzy, with onlookers and reporters vying for a glimpse or a photo of the global icon.

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 said is breaking the law to maintain excessive control.

At issue for Jordan and a fellow team representative, who testified before Jordan, are details from last September. She recounted a hectic and tense period where the sanctioning body informed teams they must sign a contract extension. The document spanned 112 pages detailing team compensation and a guaranteed spot in every race.

Choosing Litigation

Jordan said that 23XI and Front Row Motorsports decided their only feasible option was to refuse a signature that 112-page package and take the issue to court. All other teams signed the agreement.

Jordan and co-owner Denny Hamlin approached Nascar about possible changes or negotiations. Nascar refused to engage, according to his testimony.

The Ultimate Motivation: Victory

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

“Denny convinced me adding a third car boosted our odds of winning,” he said, noting that he purchased another franchise late in 2024 for $28m amid the legal dispute. “So I dove in.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her request for permanent charters, submitted in a written letter to Nascar. She testified the timing of the signature deadline didn’t sit well.

According to her, 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,” Heather Gibbs said Joe Gibbs told Nascar’s executives. She said France replied, “If I wake up and I have 20 charters, that’s what I have. If there are 30, I have 30.”