🔗 Share this article

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

Team Investment and a Will to Win

The owner disclosed operational insights of his 23XI team, saying he put in $40m of his personal wealth 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. “As a newcomer, I wasn’t afraid. I believed I could take on Nascar as a whole. From my perspective, the sport required examination from a different view.”

The Core Dispute: Franchise System and Contract Pressure

At issue is the end of a 2016 agreement where Nascar provided each team a “charter”. This system mirrors other professional sports with separately owned franchises, such as the Charlotte Hornets or the Carolina Panthers. This deal was set to expire in 2024 when Nascar demanded teams renew their charters.

Jordan was on the witness stand for about sixty minutes and exited the courthouse to a media frenzy, with onlookers and reporters vying for a view or a photo of the sports legend.

Spearheading the Fight

Jordan’s 23XI is leading the full-court press along with Front Row Motorsports for Nascar to overhaul a business model Jordan said 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 events from last September. She recounted a frantic and emotional six hours where the sanctioning body informed teams they had to sign a contract extension. The document spanned over a hundred pages detailing pay for chartered teams and a guaranteed spot in Nascar-sponsored races.

Choosing Litigation

Jordan explained that 23XI and Front Row Motorsports concluded 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 approached Nascar about potential amendments or negotiations. Nascar refused to engage, Jordan said.

The Bottom Line: Victory

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

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

Account from the Gibbs Family

Gibbs described her request for permanent charters, submitted in a formal letter to Nascar. She said the pressure of the signature deadline didn’t sit well.

She said, the team founder first tried to call and talk Nascar out of demanding signatures, but CEO Jim France refused the appeal.

“Don’t do this to us,” Gibbs recounted was the message to Nascar’s executives. The response was, “Whether I have 20 charters, that’s what I have. If there are 30, that’s the number.”