Michael Jordan Tells Court He ‘Wasn’t Afraid’ of the Racing Body in Legal Battle

Michael Jeffrey Jordan, introducing himself formally in a federal courtroom on Friday, admitted that his drive to win and novelty within the sport motivated his effort with 23XI Racing to “challenge” Nascar over alleged violations of antitrust rules.

Financial Stakes and a Will to Win

Jordan shared financial and corporate details of his racing venture, saying he put in $40m of his own funds into the Nascar Cup series team launched with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan stated in the Charlotte courtroom. “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 it needed to be looked at through a new lens.”

Central Issue: Charter Agreements and Contract Pressure

The heart of the case involves the expiration of a 2016 agreement where Nascar granted each team a “charter”. This system mirrors other professional sports with separately owned franchises, like the Charlotte Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar demanded teams renew their charters.

Jordan testified 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

Jordan’s 23XI is leading the full-court press along with another racing team for Nascar to overhaul a operating model Jordan contended is breaking the law to maintain excessive control.

For Jordan and and a fellow team representative, who preceded Jordan, are details from September 2024. Gibbs described a frantic and emotional six hours where the sanctioning body informed teams they had to sign a charter agreement extension. This agreement consists of over a hundred pages detailing pay for chartered teams and a guaranteed spot in every race.

Choosing Litigation

Jordan said that 23XI and Front Row Motorsports concluded their only feasible option was to decline to sign that 112-page package and take the issue to court. All other teams signed the agreement.

Jordan and co-owner Denny Hamlin reached out to Nascar about possible changes or extension options. Nascar wasn’t talking, Jordan said.

The Bottom Line: Winning

But in the end, the pushback against what he saw as a financially unsustainable model was mostly about the usual bottom line for Jordan: Success.

“Denny convinced me adding a third car improved our chances to win,” he testified, noting that he bought a third charter late in 2024 for $28 million amid the legal dispute. “So I took the plunge.”

Heather Gibbs’ Testimony

Gibbs described her request for permanent charters, which she said a formal letter to Nascar. She said the timing 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 refused the appeal.

“Don’t do this to us,” Gibbs recounted Joe Gibbs told Nascar’s executives. The response was, “Whether I have 20 charters, I have 20. If I have 30, that’s the number.”