🔗 Share this article

The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, stated 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 Competitive Drive

Jordan shared operational insights of his 23XI team, revealing he put in $40 million of his own funds into the Cup Series operation launched with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan stated during testimony. “I was a new person, I wasn’t afraid. I believed I could take on Nascar in its entirety. I felt as far as the sport required examination through a new lens.”

The Core Dispute: Charter Agreements and Renewal Demands

At issue is the expiration of a 2016 agreement where Nascar granted each team a “charter”. The concept is similar to other major leagues with independent franchises, like the Charlotte Hornets or the NFL’s Panthers. The agreement was due to end in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for about sixty minutes and left the court to a media frenzy, with fans and media clamoring for a glimpse or a picture 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 overhaul a operating model Jordan said is unlawful to maintain excessive control.

At issue for Jordan and a fellow team representative, who testified before Jordan, are details from September 2024. She recounted a frantic and emotional period where the racing circuit told teams they had to sign a charter agreement extension. The document spanned over a hundred pages outlining team compensation and a guaranteed spot in Nascar-sponsored races.

A Refusal to Sign

Jordan said that 23XI and Front Row Motorsports concluded their sole viable path was to refuse a signature that 112-page package and litigate the matter. The other 13 organizations agreed to the terms.

Jordan and co-owner Denny Hamlin reached out to Nascar about possible changes or extension options. Nascar refused to engage, according to his testimony.

The Bottom Line: Winning

But in the end, the pushback against what he saw as a unsustainable system was mostly about the familiar goal for Jordan: Success.

“Hamlin persuaded me getting a third driver boosted our odds of winning,” he testified, noting that he purchased another franchise last year for $28 million despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her request for permanent charters, which she said a written letter to Nascar. She said the timing of the signature deadline was problematic.

According to her, Joe Gibbs first tried to call and persuade Nascar against forcing signatures, but CEO Jim France declined the request.

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