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The basketball icon, introducing himself formally in a Charlotte court on Friday, admitted that his drive to win and status as a newcomer motivated his effort with 23XI Racing to “challenge” Nascar over perceived violations of competition laws.

Team Investment and a Will to Win

The owner disclosed financial and corporate details of his 23XI team, 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. “As a newcomer, I wasn’t afraid. I believed I could take on Nascar as a whole. From my perspective, the sport it needed to be looked at through a new lens.”

The Core Dispute: Franchise System and Contract Pressure

At issue is the expiration of a 2016 deal where Nascar granted each team a franchise. This system mirrors other professional sports with independent franchises, such as the NBA’s Hornets or the Carolina Panthers. This deal was due to end in 2024 when Nascar insisted on 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 at the forefront of the push along with another racing team for Nascar to overhaul a operating model Jordan said is breaking the law to keep two hands on the wheel.

For Jordan and and Heather Gibbs, who preceded Jordan, are events from last September. Gibbs described a hectic and tense period where the racing circuit informed teams they had to sign a contract extension. This agreement consists of 112 pages detailing team compensation and a guaranteed entry in Nascar-sponsored races.

Choosing Litigation

Jordan explained that his team and its ally concluded their sole viable path was to decline to sign that extensive document and litigate the matter. All other teams agreed to the terms.

Jordan and co-owner Denny Hamlin reached out to Nascar about possible changes or negotiations. Nascar wasn’t talking, according to his testimony.

The Bottom Line: Victory

Ultimately, the pushback against what he saw as a financially unsustainable model was driven by the familiar goal for Jordan: Winning.

“Denny convinced me getting a third driver boosted our odds of winning,” he said, sharing that he bought a third charter late in 2024 for $28 million despite the uncertainty. “So I dove in.”

Account from the Gibbs Family

Heather Gibbs detailed her request for permanent charters, submitted in a formal letter to Nascar. She said the pressure of the contract signing demand was problematic.

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

“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, that’s the number.”