🔗 Share this article

The basketball icon, as he cordially introduced himself in a Charlotte court on Friday, stated that his competitive side and novelty within the sport motivated 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, saying he put in $40m of his own funds into the Nascar Cup series team launched with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan stated in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I felt I could challenge Nascar in its entirety. From my perspective, the sport required examination through a new lens.”

The Core Dispute: Charter Agreements and Contract Pressure

At issue is the end 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 Charlotte Hornets or the Carolina Panthers. The agreement was set to expire 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 clamoring 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 change a business model Jordan contended is unlawful to keep two hands on the wheel.

At issue for Jordan and Heather Gibbs, who testified before Jordan, are details from last September. She recounted a frantic and emotional period where the racing circuit told teams they must sign a contract extension. This agreement consists of 112 pages outlining pay for chartered teams and a guaranteed spot in Nascar-sponsored races.

A Refusal to Sign

Jordan said that 23XI and Front Row Motorsports decided their only feasible option was to refuse a signature that 112-page package and take the issue to court. All other teams agreed to the terms.

The team owners reached out to Nascar about potential amendments or extension options. Nascar refused to engage, Jordan said.

The Ultimate Motivation: Winning

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

“Hamlin persuaded me getting a third driver improved our chances to win,” he said, noting that he purchased another franchise late in 2024 for $28m despite the uncertainty. “So I took the plunge.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her push for indefinite franchises, submitted in a written letter to Nascar. She testified the pressure of the signature deadline was problematic.

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

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