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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 competition laws.

Team Investment and a Competitive Drive

The owner disclosed financial and corporate details of his racing venture, revealing he invested $40m of his own funds into the Nascar Cup series team co-founded with business partner Curtis Polk and longtime driver Denny Hamlin.

“It fell to someone to act,” Jordan said during testimony. “I was a new person, I wasn’t afraid. I felt I could challenge Nascar as a whole. From my perspective, the sport required examination through a new lens.”

Central Issue: Charter Agreements and Renewal Demands

At issue is the end of a 2016 deal where Nascar granted each team a franchise. This system mirrors other major leagues with separately owned franchises, like the NBA’s Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for about sixty minutes and exited the courthouse to pandemonium, with fans and media clamoring for a view or a picture of the sports legend.

Spearheading the Fight

Jordan’s 23XI is leading the full-court press along with Front Row Motorsports for Nascar to overhaul a business model Jordan contended is unlawful to keep two hands on the wheel.

For Jordan and and a fellow team representative, who testified before Jordan, are events from September 2024. She recounted a frantic and emotional six hours where the sanctioning body told teams they had to sign a charter agreement extension. The document spanned 112 pages outlining team compensation and a guaranteed entry in every race.

Choosing Litigation

Jordan said that his team and its ally decided their only feasible option was to refuse a signature that extensive document and take the issue to court. All other teams signed the agreement.

Jordan and co-owner Denny Hamlin approached Nascar about possible changes or negotiations. Nascar wasn’t talking, Jordan said.

The Bottom Line: Winning

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

“Hamlin persuaded me getting a third driver boosted our odds of winning,” he said, noting that he bought a third charter last year for $28m despite the uncertainty. “So I dove in.”

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 was problematic.

According to her, Joe Gibbs first attempted to call and persuade Nascar against demanding signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Heather Gibbs said was the message to Nascar’s executives. The response was, “Whether I have 20 charters, that’s what I have. If there are 30, that’s the number.”