🔗 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 emboldened his push for 23XI Racing to confront Nascar over perceived violations of antitrust rules.

Financial Stakes and a Competitive Drive

The owner disclosed operational insights of his racing venture, revealing he put in $40m of his own funds into the Cup Series operation launched with partner Polk and driver Hamlin.

“Someone had to step forward,” Jordan said 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 it needed to be looked at through a new lens.”

Central Issue: Charter Agreements and Renewal Demands

The heart of the case involves the expiration of a 2016 agreement where Nascar granted each team a franchise. The concept is similar to other major leagues with independent franchises, such as the Charlotte Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar insisted on teams renew their charters.

Jordan testified for about sixty minutes and left the court to pandemonium, with onlookers and reporters vying for a glimpse or a photo of the global icon.

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 hectic and tense period where the racing circuit told teams they must sign a contract extension. This agreement consists of 112 pages detailing team compensation and a guaranteed spot in Nascar-sponsored races.

Choosing Litigation

Jordan explained that 23XI and Front Row Motorsports decided their sole viable path was to refuse a signature that extensive document and take the issue to court. The other 13 organizations signed the agreement.

The team owners reached out to Nascar about possible changes or negotiations. Nascar wasn’t talking, 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.

“Hamlin persuaded me adding a third car improved our chances to win,” he said, sharing that he purchased another franchise last year for $28 million amid the legal dispute. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her request for permanent charters, which she said a formal letter to Nascar. She testified the timing of the signature deadline didn’t sit well.

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

“Don’t do this to us,” Gibbs recounted Joe Gibbs told 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.”