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The basketball icon, introducing himself formally in a Charlotte court on Friday, stated that his drive to win and novelty within the sport motivated his effort with 23XI Racing to “challenge” Nascar over alleged violations of competition laws.

Team Investment and a Will to Win

Jordan shared operational insights of his racing venture, revealing he put in $40m of his personal wealth into the Cup Series operation co-founded with business partner Curtis Polk and driver Hamlin.

“It fell to someone to act,” Jordan stated in the Charlotte courtroom. “I was a new person, I had no fear. I felt I could challenge Nascar in its entirety. From my perspective, the sport required examination from a different view.”

The Core Dispute: Franchise System and Renewal Demands

The heart of the case involves the end of a 2016 deal where Nascar granted each team a franchise. The concept is similar to other professional sports with separately owned franchises, such as the NBA’s Hornets or the Carolina Panthers. The agreement was set to expire in 2024 when Nascar demanded charter membership renewals.

Jordan testified for about sixty minutes and left the court to pandemonium, with fans and media vying for a glimpse or a photo of the sports legend.

Leading the Legal Charge

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

At issue for Jordan and Heather Gibbs, who preceded Jordan, are events from last September. Gibbs described a frantic and emotional six hours where the sanctioning body informed teams they had to sign a contract extension. This agreement consists of 112 pages outlining team compensation and a guaranteed entry in every race.

A Refusal to Sign

Jordan said that 23XI and Front Row Motorsports concluded their sole viable path was to decline to sign that 112-page package and litigate the matter. All other teams agreed to the terms.

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

The Ultimate Motivation: Winning

Ultimately, the resistance against what he saw as a financially unsustainable model was driven by the familiar goal for Jordan: Winning.

“Hamlin persuaded me adding a third car boosted our odds of winning,” he testified, sharing that he purchased another franchise last year for $28 million despite the uncertainty. “So I took the plunge.”

Heather Gibbs’ Testimony

Heather Gibbs detailed her request for permanent charters, submitted in a formal letter to Nascar. She testified the pressure of the contract signing demand was problematic.

According to her, the team founder first tried to call and persuade Nascar against demanding signatures, but CEO Jim France refused the appeal.

“Please don’t force this on us,” Heather Gibbs said was the message to Nascar’s leadership. She said France replied, “If I wake up and I have 20 charters, that’s what I have. If I have 30, that’s the number.”