🔗 Share this article

Michael Jeffrey Jordan, introducing himself formally 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 alleged violations of antitrust rules.

Team Investment and a Will to Win

Jordan shared operational insights of his racing venture, saying he put in $40 million of his personal wealth into the Cup Series operation co-founded with partner Polk and longtime driver Denny Hamlin.

“It fell to someone to act,” Jordan stated in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I believed I could take on Nascar as a whole. I felt as far as the sport required examination through a new lens.”

Central Issue: Franchise System and Contract Pressure

At issue is the expiration of a 2016 agreement where Nascar granted each team a “charter”. This system mirrors other professional sports with separately owned franchises, such as the NBA’s Hornets or the NFL’s Panthers. This deal was set to expire in 2024 when Nascar demanded charter membership renewals.

Jordan testified for about sixty minutes and left the court to a media frenzy, with onlookers and reporters vying for a glimpse or a photo of the sports legend.

Leading the Legal Charge

23XI Racing is at the forefront of the push along with Front Row Motorsports for Nascar to change a business model Jordan contended is breaking the law to keep two hands on the wheel.

For Jordan and and Heather Gibbs, who testified before Jordan, are details from September 2024. She recounted a frantic and emotional period where the sanctioning body told teams they had to sign a charter agreement extension. The document consists of over a hundred pages outlining pay for chartered teams and a guaranteed entry in Nascar-sponsored races.

Choosing Litigation

Jordan said that his team and its ally decided their only feasible option was to decline to sign that extensive document and take the issue to court. All other teams agreed to the terms.

The team owners reached out to Nascar about possible changes or negotiations. Nascar refused to engage, according to his testimony.

The Bottom Line: Winning

Ultimately, the pushback against what he saw as a unsustainable system was driven by the usual bottom line for Jordan: Winning.

“Denny convinced me getting a third driver improved our chances to win,” he said, sharing that he purchased another franchise late in 2024 for $28 million amid the legal dispute. “So I dove in.”

Account from the Gibbs Family

Heather Gibbs detailed her request for permanent charters, which she said a written letter to Nascar. She testified the timing of the signature deadline was problematic.

According to her, Joe Gibbs first attempted to call and talk Nascar out of forcing signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Heather Gibbs said Joe Gibbs told Nascar’s leadership. She said France replied, “Whether I have 20 charters, I have 20. If there are 30, that’s the number.”