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The basketball icon, introducing himself formally in a Charlotte court on Friday, stated 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 23XI team, revealing he put in $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 wasn’t afraid. I believed I could take on Nascar in its entirety. I felt as far as the sport required examination through a new lens.”

Central Issue: Franchise System and Contract Pressure

The heart of the case involves the expiration of a 2016 deal where Nascar granted each team a “charter”. The concept is similar to 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 was on the witness stand for an hour and left the court to pandemonium, with onlookers and reporters vying for a view or a photo of the sports legend.

Leading the Legal Charge

23XI Racing is at the forefront of the push along with another racing team for Nascar to overhaul a business model Jordan contended is unlawful to keep two hands on the wheel.

At issue for Jordan and Heather Gibbs, who preceded Jordan, are details from September 2024. She recounted a hectic and tense period where the sanctioning body told teams they had to sign a charter agreement extension. The document consists of 112 pages outlining team compensation and a guaranteed entry in Nascar-sponsored races.

A Refusal to Sign

Jordan explained that his team and its ally concluded their only feasible option was to decline to sign that extensive document and litigate the matter. All other teams signed the agreement.

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

The Bottom Line: Winning

Ultimately, the resistance against what he saw as a financially unsustainable model was driven by the usual bottom line for Jordan: Success.

“Denny convinced me adding a third car improved our chances to win,” he said, noting that he bought a third charter last year for $28 million despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her push for indefinite franchises, which she said a written letter to Nascar. She testified the timing of the signature deadline was problematic.

According to her, the team founder first attempted to call and persuade Nascar against demanding signatures, but Nascar’s leader declined the request.

“Please don’t force this on us,” Heather Gibbs said was the message to Nascar’s executives. She said France replied, “If I wake up and I have 20 charters, I have 20. If I have 30, I have 30.”