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Michael Jeffrey Jordan, introducing himself formally in a federal courtroom on Friday, stated that his competitive side and novelty within the sport emboldened his push for 23XI Racing to “challenge” Nascar over perceived violations of antitrust rules.

Financial Stakes and a Competitive Drive

The owner disclosed operational insights of his 23XI team, saying he invested $40m of his personal wealth into the Cup Series operation launched with partner Polk and longtime driver Denny Hamlin.

“It fell to someone to act,” Jordan said in the Charlotte courtroom. “I was a new person, I had no fear. I felt I could challenge Nascar in its entirety. I felt as far as the sport it needed to be looked at through a new lens.”

The Core Dispute: Charter Agreements and Renewal Demands

At issue is the end of a 2016 deal where Nascar provided 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. The agreement was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for an hour and left the court to pandemonium, 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 business model Jordan contended is unlawful to keep two hands on the wheel.

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 informed teams they had to sign a contract extension. This agreement consists of 112 pages outlining pay for chartered teams and a guaranteed spot in every race.

Choosing Litigation

Jordan said that 23XI and Front Row Motorsports decided their only feasible option was to decline to sign that 112-page package and take the issue to court. 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 wasn’t talking, according to his testimony.

The Ultimate Motivation: Winning

Ultimately, the resistance against what he saw as a financially unsustainable model was mostly about the usual bottom line for Jordan: Success.

“Hamlin persuaded me adding a third car improved our chances to win,” he said, noting that he bought a third charter late in 2024 for $28 million despite the uncertainty. “So I took the plunge.”

Account from the Gibbs Family

Heather Gibbs detailed her push for indefinite franchises, submitted in a written letter to Nascar. She testified the pressure 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 was the message to Nascar’s leadership. The response was, “If I wake up and I have 20 charters, that’s what I have. If there are 30, I have 30.”