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The basketball icon, introducing himself formally in a Charlotte court on Friday, admitted that his drive to win and novelty within the sport motivated his effort with 23XI Racing to “challenge” Nascar over perceived violations of competition laws.

Financial Stakes 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 Cup Series operation co-founded 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 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 Renewal Demands

At issue is the expiration of a 2016 deal where Nascar granted each team a “charter”. The concept is similar to other major leagues with independent franchises, like the NBA’s Hornets or the NFL’s Panthers. The agreement was set to expire in 2024 when Nascar demanded charter membership renewals.

Jordan testified for an hour and exited the courthouse to pandemonium, with fans and media vying for a view or a picture of the sports legend.

Spearheading the Fight

23XI Racing is leading the full-court press along with Front Row Motorsports for Nascar to change a operating model Jordan said is unlawful to maintain excessive control.

For Jordan and and a fellow team representative, who preceded Jordan, are events from September 2024. Gibbs described a frantic and emotional period where the racing circuit told teams they had to sign a contract extension. The document consists of 112 pages outlining team compensation and a guaranteed entry in Nascar-sponsored races.

Choosing Litigation

Jordan said that 23XI and Front Row Motorsports concluded their sole viable path was to refuse a signature that extensive document and litigate the matter. The other 13 organizations signed the agreement.

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

The Ultimate Motivation: Winning

But in the end, the resistance against what he saw as a financially unsustainable model was driven by the familiar goal for Jordan: Success.

“Hamlin persuaded me getting a third driver improved our chances to win,” he testified, noting that he purchased another franchise last year for $28 million despite the uncertainty. “So I dove in.”

Account from the Gibbs Family

Heather Gibbs detailed her push for indefinite franchises, submitted in a formal letter to Nascar. She said the timing of the signature deadline was problematic.

According to her, the team founder first tried to call and talk Nascar out of forcing signatures, but Nascar’s leader declined the request.

“Please don’t force this on us,” Heather Gibbs said Joe Gibbs told Nascar’s leadership. She said France replied, “If I wake up and I have 20 charters, that’s what I have. If I have 30, that’s the number.”