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The basketball icon, introducing himself formally in a Charlotte court on Friday, admitted that his competitive side and novelty within the sport motivated his effort with 23XI Racing to “challenge” Nascar over alleged violations of competition laws.

Team Investment and a Will to Win

The owner disclosed operational insights of his racing venture, revealing he put in $40 million of his own funds into the Nascar Cup series team co-founded with partner Polk and driver Hamlin.

“Someone had to step forward,” 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 it needed to be looked at from a different view.”

Central Issue: Charter Agreements and Renewal Demands

The heart of the case involves the end of a 2016 agreement where Nascar granted each team a franchise. The concept is similar to other major leagues with separately owned franchises, like the Charlotte Hornets or the NFL’s Panthers. This deal was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for an hour and exited the courthouse to pandemonium, with onlookers and reporters vying for a view or a picture 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 said is breaking the law to maintain excessive control.

For Jordan and and Heather Gibbs, who preceded Jordan, are details from September 2024. She recounted a frantic and emotional six hours where the sanctioning body told teams they must sign a charter agreement extension. This agreement consists of 112 pages detailing pay for chartered teams and a guaranteed entry in every race.

Choosing Litigation

Jordan explained that his team and its ally concluded their sole viable path was to decline to sign that 112-page package and take the issue to court. The other 13 organizations agreed to the terms.

The team owners approached Nascar about possible changes or extension options. Nascar wasn’t talking, Jordan said.

The Bottom Line: Victory

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

“Denny convinced me getting a third driver boosted our odds of winning,” he said, noting 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 demanding signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. The response was, “If I wake up and I have 20 charters, that’s what I have. If I have 30, I have 30.”