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Michael Jeffrey Jordan, introducing himself formally in a federal courtroom on Friday, admitted that his drive to win and status as a newcomer emboldened his push for 23XI Racing to confront 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 in the Charlotte courtroom. “As a newcomer, I had no fear. I felt I could challenge Nascar in its entirety. From my perspective, the sport required examination through a new lens.”

Central Issue: Franchise System and Contract Pressure

The heart of the case involves the end of a 2016 deal where Nascar granted each team a franchise. The concept is similar to other professional sports with independent franchises, such as the NBA’s Hornets or the NFL’s Panthers. The agreement was set to expire in 2024 when Nascar demanded 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 view or a picture of the sports legend.

Leading the Legal Charge

23XI Racing is leading the full-court press along with another racing team for Nascar to overhaul a business model Jordan said is unlawful to maintain excessive control.

At issue for Jordan and a fellow team representative, who preceded Jordan, are details from last September. She recounted a hectic and tense period where the sanctioning body told teams they had to sign a charter agreement extension. The document consists of 112 pages detailing team compensation and a guaranteed entry in every race.

Choosing Litigation

Jordan explained that his team and its ally decided their sole viable path was to decline to sign that extensive document and take the issue to court. All other teams signed the agreement.

Jordan and co-owner Denny Hamlin approached Nascar about potential amendments or extension options. Nascar wasn’t talking, according to his testimony.

The Bottom Line: Winning

Ultimately, the pushback against what he saw as a financially unsustainable model was mostly about the familiar goal for Jordan: Success.

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

Heather Gibbs’ Testimony

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

According to her, Joe Gibbs first attempted to call and persuade Nascar against forcing signatures, but Nascar’s leader declined the request.

“Please don’t force this on us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. She said France replied, “If I wake up and I have 20 charters, that’s what I have. If I have 30, I have 30.”