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The basketball icon, introducing himself formally in a federal courtroom on Friday, admitted that his drive to win and novelty within the sport motivated his effort with 23XI Racing to “challenge” Nascar over perceived violations of antitrust rules.

Team Investment and a Competitive Drive

The owner disclosed operational insights of his 23XI team, saying he put in $40m of his personal wealth into the Cup Series operation co-founded with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan stated during testimony. “I was a new person, I wasn’t afraid. I felt I could challenge Nascar as a whole. From my perspective, the sport it needed to be looked at from a different view.”

Central Issue: Franchise System and Contract Pressure

At issue is the expiration 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 Carolina Panthers. The agreement was set to expire in 2024 when Nascar insisted on charter membership renewals.

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

Leading the Legal Charge

23XI Racing is at the forefront of the push along with another racing team for Nascar to overhaul a operating model Jordan contended is breaking the law to maintain excessive control.

At issue for Jordan and a fellow team representative, who testified before Jordan, are events from September 2024. Gibbs described a frantic and emotional period where the racing circuit told teams they must sign a charter agreement extension. This agreement spanned over a hundred pages outlining team compensation and a guaranteed entry in every race.

Choosing Litigation

Jordan explained that 23XI and Front Row Motorsports concluded their sole viable path was to decline to sign that extensive document and take the issue to court. All other teams signed the agreement.

The team owners approached Nascar about possible changes or extension options. Nascar refused to engage, Jordan said.

The Bottom Line: Victory

But in the end, the resistance 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 said, sharing that he bought a third charter last year for $28 million amid the legal dispute. “So I dove in.”

Account from the Gibbs Family

Gibbs described her request for permanent charters, which she said a formal letter to Nascar. She testified the pressure of the contract signing demand didn’t sit well.

According to her, the team founder first tried to call and persuade Nascar against forcing signatures, but CEO Jim France refused the appeal.

“Don’t do this to us,” Gibbs recounted was the message to Nascar’s leadership. The response was, “If I wake up and I have 20 charters, I have 20. If there are 30, I have 30.”