🔗 Share this article

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

Financial Stakes and a Will to Win

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

“Someone had to step forward,” Jordan stated during testimony. “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 from a different view.”

The Core Dispute: Charter Agreements and Contract Pressure

At issue is the end of a 2016 deal where Nascar granted each team a franchise. The concept is similar to other professional sports with separately owned franchises, like the NBA’s Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar insisted on charter membership renewals.

Jordan testified for an hour and left the court to a media frenzy, with fans and media clamoring for a view or a picture of the global icon.

Spearheading the Fight

23XI Racing is at the forefront of the push along with Front Row Motorsports for Nascar to overhaul a operating model Jordan contended is breaking the law to keep two hands on the wheel.

At issue for Jordan and a fellow team representative, who testified before Jordan, are details from September 2024. She recounted a hectic and tense six hours where the sanctioning body informed teams they must sign a contract extension. The document spanned 112 pages outlining pay for chartered teams and a guaranteed spot in Nascar-sponsored races.

Choosing Litigation

Jordan explained that his team and its ally decided their sole viable path was to refuse a signature that 112-page package and litigate the matter. All other teams agreed to the terms.

Jordan and co-owner Denny Hamlin reached out to Nascar about potential amendments or extension options. Nascar wasn’t talking, Jordan said.

The Bottom Line: Winning

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

“Denny convinced me getting a third driver improved our chances to win,” he testified, sharing that he purchased another franchise late in 2024 for $28m despite the uncertainty. “So I took the plunge.”

Account from the Gibbs Family

Gibbs described her request for permanent charters, submitted in a written letter to Nascar. She testified the pressure of the signature deadline was problematic.

According to her, the team founder first tried to call and persuade Nascar against demanding signatures, but CEO Jim France declined the request.

“Don’t do this to 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, that’s the number.”