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The basketball icon, as he cordially introduced himself in a Charlotte court on Friday, admitted that his competitive side and status as a newcomer motivated his effort with 23XI Racing to confront Nascar over alleged violations of competition laws.

Financial Stakes and a Competitive Drive

Jordan shared operational insights of his 23XI team, saying he invested $40 million of his own funds into the Nascar Cup series team co-founded 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 as a whole. From my perspective, the sport required examination through a new lens.”

Central Issue: Franchise System and Contract Pressure

At issue is the expiration of a 2016 deal where Nascar granted each team a “charter”. This system mirrors other professional sports with separately owned franchises, such as the Charlotte Hornets or the Carolina Panthers. The agreement was set to expire in 2024 when Nascar demanded teams renew their charters.

Jordan was on the witness stand for an hour and exited the courthouse to pandemonium, with fans and media vying for a view or a photo of the global icon.

Leading the Legal Charge

23XI Racing is leading the full-court press along with Front Row Motorsports for Nascar to change a business model Jordan said is breaking the law to maintain excessive control.

At issue for Jordan and Heather Gibbs, who preceded Jordan, are events from last September. Gibbs described a frantic and emotional six hours where the sanctioning body informed teams they must sign a charter agreement extension. This agreement consists of 112 pages outlining pay for chartered teams and a guaranteed entry in every race.

Choosing Litigation

Jordan said that his team and its ally decided their sole viable path was to refuse a signature that 112-page package and take the issue to court. The other 13 organizations agreed to the terms.

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

The Ultimate Motivation: Winning

But in the end, the pushback against what he saw as a unsustainable system was driven by the usual bottom line for Jordan: Success.

“Denny convinced me adding a third car boosted our odds of winning,” he said, noting that he bought a third charter late in 2024 for $28m amid the legal dispute. “So I took the plunge.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her push for indefinite franchises, submitted in a formal letter to Nascar. She testified the timing of the contract signing demand didn’t sit well.

According to her, Joe Gibbs first attempted to call and talk Nascar out of demanding signatures, but CEO Jim France refused the appeal.

“Please don’t force this on us,” Gibbs recounted Joe Gibbs told Nascar’s executives. The response was, “Whether I have 20 charters, I have 20. If I have 30, that’s the number.”