🔗 Share this article

Michael Jeffrey Jordan, introducing himself formally in a Charlotte court on Friday, admitted that his competitive side and novelty within the sport emboldened his push for 23XI Racing to “challenge” Nascar over alleged violations of antitrust rules.

Financial Stakes and a Will to Win

The owner disclosed financial and corporate details of his racing venture, saying he invested $40 million of his own funds into the Nascar Cup series team co-founded with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan said in the Charlotte courtroom. “As a newcomer, I wasn’t afraid. I believed I could take on Nascar as a whole. I felt as far as the sport it needed to be looked at from a different view.”

Central Issue: Franchise System and Renewal Demands

The heart of the case involves the expiration of a 2016 deal where Nascar granted each team a franchise. This system mirrors other major leagues with independent franchises, like the NBA’s Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for about sixty minutes and exited the courthouse to a media frenzy, with fans and media clamoring for a glimpse or a photo of the global icon.

Spearheading the Fight

23XI Racing is at the forefront of the push along with Front Row Motorsports for Nascar to overhaul a business model Jordan contended is breaking the law to maintain excessive control.

For Jordan and and a fellow team representative, who testified before Jordan, are events from last September. She recounted a frantic and emotional period where the sanctioning body told teams they had to sign a contract extension. This agreement consists of 112 pages outlining pay for chartered teams and a guaranteed entry in Nascar-sponsored races.

Choosing Litigation

Jordan said that his team and its ally concluded their sole viable path was to refuse a signature that extensive document and take the issue to court. The other 13 organizations agreed to the terms.

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

“Hamlin persuaded me adding a third car improved our chances to win,” he said, sharing that he purchased another franchise last year for $28m despite the uncertainty. “So I dove in.”

Account from the Gibbs Family

Heather Gibbs detailed her push for indefinite franchises, submitted in a formal letter to Nascar. She testified the timing of the contract signing demand didn’t sit well.

She said, the team founder first tried to call and persuade Nascar against forcing signatures, but Nascar’s leader declined the request.

“Please don’t force this on us,” Gibbs recounted was the message to Nascar’s executives. She said France replied, “Whether I have 20 charters, I have 20. If I have 30, that’s the number.”