🔗 Share this article

The basketball icon, as he cordially introduced himself in a Charlotte court on Friday, stated that his drive to win and novelty within the sport motivated his push for 23XI Racing to “challenge” Nascar over perceived violations of competition laws.

Financial Stakes and a Competitive Drive

The owner disclosed financial and corporate details of his 23XI team, revealing he invested $40 million of his own funds into the Cup Series operation co-founded with partner Polk and driver Hamlin.

“It fell to someone to act,” Jordan said in the Charlotte courtroom. “As a newcomer, I had no fear. I believed I could take on Nascar in its entirety. I felt as far as the sport required examination through a new lens.”

Central Issue: Charter Agreements and Contract Pressure

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 Carolina Panthers. This deal was due to end in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for an hour and exited the courthouse to a media frenzy, with fans and media clamoring for a view or a photo of the global icon.

Spearheading the Fight

23XI Racing is at the forefront of the push along with another racing team for Nascar to overhaul a business model Jordan said is unlawful to maintain excessive control.

At issue for Jordan and Heather Gibbs, who testified before Jordan, are events from last September. Gibbs described a hectic and tense period where the sanctioning body informed teams they had to sign a contract extension. The document consists of 112 pages outlining team compensation and a guaranteed entry in every race.

Choosing Litigation

Jordan explained that 23XI and Front Row Motorsports concluded their only feasible option was to refuse a signature that 112-page package 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 extension options. Nascar refused to engage, Jordan said.

The Ultimate Motivation: Victory

But in the end, the pushback against what he saw as a unsustainable system was mostly about the familiar goal for Jordan: Success.

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

Account from the Gibbs Family

Gibbs described her push for indefinite franchises, submitted in a written letter to Nascar. She said the timing of the contract signing demand was problematic.

According to her, Joe Gibbs first tried to call and persuade Nascar against demanding signatures, but Nascar’s leader refused the appeal.

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