The NBA legend Tells Court He ‘Wasn’t Afraid’ of the Racing Body in Legal Battle

Michael Jeffrey Jordan, 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 confront Nascar over perceived violations of competition laws.

Team Investment and a Will to Win

Jordan shared financial and corporate details of his 23XI team, saying he invested $40 million of his own funds into the Cup Series operation co-founded with business partner Curtis Polk and driver Hamlin.

“Someone had to step forward,” Jordan stated during testimony. “I was a new person, I had no fear. I felt I could challenge Nascar in its entirety. I felt as far as the sport it needed to be looked at from a different view.”

The Core Dispute: Franchise System and Contract Pressure

At issue is the end of a 2016 deal where Nascar granted each team a “charter”. This system mirrors other major leagues with independent franchises, like the Charlotte Hornets or the Carolina Panthers. The agreement was due to end in 2024 when Nascar demanded charter membership renewals.

Jordan testified for an hour and left the court to pandemonium, with onlookers and reporters clamoring for a view or a picture of the sports legend.

Spearheading the Fight

23XI Racing is leading the full-court press along with another racing team for Nascar to overhaul a business model Jordan said is breaking the law to keep two hands on the wheel.

For Jordan and and a fellow team representative, who preceded Jordan, are events from September 2024. Gibbs described a frantic and emotional six hours where the sanctioning body told teams they must sign a charter agreement extension. This agreement spanned 112 pages outlining team compensation and a guaranteed entry in Nascar-sponsored races.

A Refusal to Sign

Jordan explained that his team and its ally decided their sole viable path 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 approached Nascar about possible changes or negotiations. Nascar refused to engage, according to his testimony.

The Bottom Line: Winning

But in the end, the resistance against what he saw as a unsustainable system was mostly about the usual bottom line for Jordan: Winning.

“Denny convinced me getting a third driver improved our chances to win,” he testified, sharing that he bought a third charter last year for $28m amid the legal dispute. “So I took the plunge.”

Account from the Gibbs Family

Gibbs described her push for indefinite franchises, which she said a formal letter to Nascar. She testified the pressure of the contract signing demand was problematic.

She said, Joe Gibbs first attempted to call and persuade Nascar against forcing signatures, but CEO Jim France declined the request.

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