The basketball icon, introducing himself formally in a Charlotte court 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.
Jordan shared operational insights of his 23XI team, revealing he invested $40m of his own funds into the Cup Series operation launched with partner Polk and driver Hamlin.
“It fell to someone to act,” Jordan stated in the Charlotte courtroom. “As a newcomer, I had no fear. I felt I could challenge Nascar as a whole. I felt as far as the sport it needed to be looked at from a different view.”
At issue is the expiration of a 2016 agreement where Nascar provided each team a “charter”. This system mirrors other professional sports with separately owned franchises, like the NBA’s Hornets or the Carolina Panthers. This deal was set to expire in 2024 when Nascar demanded teams renew their charters.
Jordan testified for about sixty minutes and left the court to pandemonium, with fans and media vying for a view or a picture of the sports legend.
Jordan’s 23XI is at the forefront of the push along with another racing team for Nascar to change a business model Jordan contended 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 six hours where the racing circuit told teams they must sign a charter agreement extension. The document consists of over a hundred pages outlining team compensation and a guaranteed entry in every race.
Jordan explained that his team and its ally concluded their only feasible option was to decline to sign that 112-page package and litigate the matter. All other teams agreed to the terms.
The team owners approached Nascar about possible changes or negotiations. Nascar wasn’t talking, according to his testimony.
Ultimately, the pushback against what he saw as a unsustainable system was mostly about the familiar goal 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 despite the uncertainty. “So I dove in.”
Heather Gibbs detailed her push for indefinite franchises, which she said a written letter to Nascar. She testified the pressure of the signature deadline was problematic.
She said, the team founder first attempted to call and talk Nascar out of forcing signatures, but CEO Jim France declined the request.
“Please don’t force this on us,” Heather Gibbs said was the message to Nascar’s leadership. She said France replied, “Whether I have 20 charters, I have 20. If there are 30, I have 30.”
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Franklin Sampson
Franklin Sampson
Franklin Sampson