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The basketball icon, introducing himself formally in a federal courtroom on Friday, admitted that his competitive side and novelty within the sport motivated his effort with 23XI Racing to “challenge” Nascar over alleged violations of competition laws.

Financial Stakes and a Will to Win

The owner disclosed operational insights of his racing venture, revealing he invested $40 million of his own funds into the Nascar Cup series team launched with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan stated in the Charlotte courtroom. “I was a new person, I wasn’t afraid. I felt I could challenge Nascar as a whole. From my perspective, the sport it needed to be looked at from a different view.”

Central Issue: Franchise System and Renewal Demands

At issue is the end of a 2016 agreement where Nascar granted each team a franchise. This system mirrors other major leagues with independent franchises, like the Charlotte Hornets or the NFL’s Panthers. The agreement was due to end in 2024 when Nascar demanded teams renew their charters.

Jordan was on the witness stand for an hour and left the court to a media frenzy, with fans and media clamoring for a glimpse or a photo of the global icon.

Spearheading the Fight

Jordan’s 23XI is at the forefront of the push along with Front Row Motorsports for Nascar to overhaul a operating model Jordan said is unlawful to maintain excessive control.

For Jordan and and a fellow team representative, who testified before Jordan, are events from September 2024. She recounted a frantic and emotional period where the sanctioning body told teams they must sign a contract extension. This agreement spanned over a hundred pages detailing team compensation and a guaranteed entry in every race.

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. The other 13 organizations signed the agreement.

The team owners reached out to Nascar about possible changes or extension options. Nascar refused to engage, Jordan said.

The Bottom Line: Winning

But in the end, the pushback against what he saw as a unsustainable system was driven by the usual bottom line for Jordan: Winning.

“Hamlin persuaded me adding a third car improved our chances to win,” he testified, sharing that he purchased another franchise late in 2024 for $28 million amid the legal dispute. “So I took the plunge.”

Account from the Gibbs Family

Heather Gibbs detailed her push for indefinite franchises, which she said a written letter to Nascar. She said the timing of the signature deadline didn’t sit well.

According to her, the team founder first attempted to call and talk Nascar out of forcing signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Heather Gibbs said was the message to Nascar’s leadership. She said France replied, “If I wake up and I have 20 charters, I have 20. If there are 30, I have 30.”