🔗 Share this article

The basketball icon, as he cordially introduced himself in a Charlotte court on Friday, admitted that his competitive side and status as a newcomer emboldened his push for 23XI Racing to “challenge” Nascar over perceived violations of antitrust rules.

Team Investment and a Will to Win

The owner disclosed operational insights of his racing venture, revealing he put in $40m of his own funds into the Cup Series operation launched with business partner Curtis Polk and driver Hamlin.

“Someone had to step forward,” Jordan said during testimony. “As a newcomer, I had no fear. I believed I could take on Nascar in its entirety. From my perspective, the sport required examination through a new lens.”

The Core Dispute: Franchise System 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 professional sports with separately owned franchises, like the Charlotte Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar demanded charter membership renewals.

Jordan testified for an hour and left the court to a media frenzy, with onlookers and reporters vying for a glimpse or a photo of the sports legend.

Spearheading the Fight

Jordan’s 23XI is at the forefront of the push along with Front Row Motorsports for Nascar to change a operating model Jordan said is unlawful to keep two hands on the wheel.

For Jordan and and Heather Gibbs, who testified before Jordan, are details from last September. She recounted a hectic and tense six hours where the racing circuit informed teams they had to sign a charter agreement extension. This agreement consists of over a hundred pages outlining pay for chartered teams and a guaranteed entry in every race.

A Refusal to Sign

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

The team owners reached out to Nascar about potential amendments or negotiations. Nascar refused to engage, according to his testimony.

The Ultimate Motivation: Victory

Ultimately, the pushback 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 bought a third charter last year for $28m despite the uncertainty. “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 timing of the signature deadline didn’t sit well.

According to her, Joe Gibbs first tried to call and talk Nascar out of demanding signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Heather Gibbs said Joe Gibbs told Nascar’s executives. The response was, “If I wake up and I have 20 charters, that’s what I have. If I have 30, I have 30.”