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Michael Jeffrey Jordan, introducing himself formally in a Charlotte court on Friday, admitted that his drive to win and status as a newcomer emboldened his push for 23XI Racing to “challenge” Nascar over alleged violations of antitrust rules.

Team Investment and a Competitive Drive

Jordan shared operational insights of his racing venture, saying he invested $40 million of his personal wealth into the Nascar Cup series team launched with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan said in the Charlotte courtroom. “As a newcomer, I had no fear. I felt I could challenge Nascar in its entirety. I felt as far as the sport it needed to be looked at through a new lens.”

The Core Dispute: Franchise System and Contract Pressure

At issue is the expiration of a 2016 agreement where Nascar granted each team a “charter”. This system mirrors other professional sports with independent franchises, such as the NBA’s Hornets or the Carolina Panthers. The agreement was due to end in 2024 when Nascar insisted on teams renew their charters.

Jordan testified for an hour and exited the courthouse to pandemonium, with fans and media vying for a glimpse or a photo of the global icon.

Spearheading the Fight

23XI Racing is leading the full-court press along with another racing team for Nascar to overhaul a operating model Jordan said is breaking the law to keep two hands on the wheel.

For Jordan and and Heather Gibbs, who testified before Jordan, are events from September 2024. Gibbs described a frantic and emotional period where the sanctioning body informed teams they must sign a charter agreement extension. The document consists of over a hundred pages outlining pay for chartered teams and a guaranteed entry in Nascar-sponsored races.

Choosing Litigation

Jordan said that his team and its ally decided their sole viable path was to refuse a signature that 112-page package and litigate the matter. The other 13 organizations agreed to the terms.

Jordan and co-owner Denny Hamlin approached Nascar about potential amendments 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 mostly about the usual bottom line for Jordan: Winning.

“Hamlin persuaded me getting a third driver improved our chances to win,” he testified, sharing that he bought a third charter last year for $28m amid the legal dispute. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her request for permanent charters, which she said a written letter to Nascar. She said the pressure of the contract signing demand was problematic.

According to her, Joe Gibbs first attempted to call and persuade Nascar against forcing signatures, but Nascar’s leader refused the appeal.

“Don’t do this to us,” Heather Gibbs said Joe Gibbs told Nascar’s executives. She said France replied, “Whether I have 20 charters, I have 20. If I have 30, that’s the number.”