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Michael Jeffrey Jordan, as he cordially introduced himself in a federal courtroom on Friday, admitted 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 Will to Win

Jordan shared financial and corporate details of his racing venture, revealing he put in $40m of his own funds into the Cup Series operation co-founded with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan said in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I believed I could take on Nascar in its entirety. From my perspective, the sport it needed to be looked at from a different view.”

Central Issue: Franchise System and Renewal Demands

At issue is the expiration of a 2016 agreement where Nascar provided each team a franchise. This system mirrors other professional sports with separately owned franchises, such as the NBA’s Hornets or the Carolina Panthers. This deal was due to end in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for an hour and left the court to a media frenzy, with onlookers and reporters clamoring for a glimpse or a picture 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 operating model Jordan said is breaking the law to maintain excessive control.

For Jordan and and Heather Gibbs, 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 charter agreement extension. The document consists of 112 pages outlining pay for chartered teams and a guaranteed entry in Nascar-sponsored races.

A Refusal to Sign

Jordan said that 23XI and Front Row Motorsports concluded their only feasible option was to decline to sign that 112-page package and litigate the matter. The other 13 organizations signed the agreement.

Jordan and co-owner Denny Hamlin reached out to Nascar about possible changes or negotiations. Nascar refused to engage, Jordan said.

The Bottom Line: Winning

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

“Denny convinced me adding a third car improved our chances to win,” he testified, noting that he purchased another franchise last year for $28m despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her push for indefinite franchises, which she said a formal letter to Nascar. She said the timing of the contract signing demand was problematic.

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

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