The basketball icon, as he cordially introduced himself in a Charlotte court on Friday, admitted that his drive to win and status as a newcomer motivated his push for 23XI Racing to confront Nascar over perceived violations of antitrust rules.
Financial Stakes and a Competitive Drive
The owner disclosed financial and corporate details of his racing venture, revealing he put in $40m of his own funds into the Nascar Cup series team launched with business partner Curtis Polk and driver Hamlin.
“It fell to someone to act,” Jordan stated during testimony. “I was a new person, I had no fear. I felt I could challenge Nascar as a whole. I felt as far as the sport required examination through a new lens.”
Central Issue: Charter Agreements and Renewal Demands
At issue is the expiration of a 2016 deal where Nascar granted each team a franchise. The concept is similar to other major leagues with separately owned franchises, such as the Charlotte Hornets or the Carolina Panthers. This deal was set to expire in 2024 when Nascar insisted on teams renew their charters.
Jordan was on the witness stand for an hour and exited the courthouse to pandemonium, with onlookers and reporters clamoring for a view or a picture 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 contended is breaking the law to keep two hands on the wheel.
At issue for Jordan and a fellow team representative, who preceded Jordan, are details from September 2024. She recounted a hectic and tense six hours where the sanctioning body told teams they had to sign a contract extension. This agreement spanned 112 pages outlining pay for chartered teams and a guaranteed spot in every race.
A Refusal to Sign
Jordan explained that his team and its ally concluded their only feasible option was to refuse a signature that extensive document and take the issue to court. The other 13 organizations signed the agreement.
Jordan and co-owner Denny Hamlin reached out to Nascar about possible changes or negotiations. Nascar refused to engage, Jordan said.
The Bottom Line: Victory
Ultimately, the resistance against what he saw as a financially unsustainable model was driven by the familiar goal for Jordan: Success.
“Hamlin persuaded 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 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 signature deadline didn’t sit well.
According to her, the team founder first tried to call and talk Nascar out of forcing signatures, but CEO Jim France refused the appeal.
“Please don’t force this on us,” Heather Gibbs said Joe Gibbs told Nascar’s executives. The response was, “If I wake up and I have 20 charters, that’s what I have. If I have 30, I have 30.”
