🔗 Share this article

The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, admitted that his competitive side and novelty within the sport motivated his effort with 23XI Racing to confront Nascar over alleged violations of antitrust rules.

Team Investment and a Will to Win

Jordan shared financial and corporate details of his 23XI team, revealing he put in $40 million 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 had no fear. I believed I could take on Nascar as a whole. From my perspective, the sport required examination from a different view.”

Central Issue: Charter Agreements and Renewal Demands

The heart of the case involves the end of a 2016 deal where Nascar provided each team a franchise. The concept is similar to other professional sports with independent franchises, like the NBA’s 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 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 overhaul a operating model Jordan said is breaking the law to keep two hands on the wheel.

For Jordan and and a fellow team representative, who preceded Jordan, are details from September 2024. Gibbs described a hectic and tense six hours where the racing circuit informed teams they had to sign a charter agreement extension. This agreement spanned over a hundred pages detailing team compensation and a guaranteed spot in every race.

Choosing Litigation

Jordan said that 23XI and Front Row Motorsports decided their sole viable path was to decline to sign that extensive document and take the issue to court. The other 13 organizations agreed to the terms.

The team owners approached Nascar about potential amendments or extension options. 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 mostly about the usual bottom line for Jordan: Winning.

“Denny convinced me getting a third driver boosted our odds of winning,” he testified, noting that he bought a third charter last year for $28 million despite the uncertainty. “So I took the plunge.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her request for permanent charters, submitted in a written letter to Nascar. She testified the pressure of the signature deadline didn’t sit well.

She said, Joe Gibbs first tried to call and talk Nascar out of forcing signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Gibbs recounted was the message to Nascar’s leadership. She said France replied, “If I wake up and I have 20 charters, that’s what I have. If there are 30, that’s the number.”