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 drive to win and novelty within the sport emboldened his push for 23XI Racing to “challenge” Nascar over alleged violations of competition laws.
Team Investment and a Competitive Drive
Jordan shared operational insights of his 23XI team, saying he invested $40m of his personal wealth into the Nascar Cup series team co-founded with partner 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 as a whole. From my perspective, the sport required examination through a new lens.”
Central Issue: Franchise System and Contract Pressure
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 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 exited the courthouse to pandemonium, with onlookers and reporters vying for a view or a picture of the sports legend.
Leading the Legal Charge
23XI Racing is at the forefront of the push along with another racing team for Nascar to change 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 testified before Jordan, are details from September 2024. Gibbs described a frantic and emotional six hours where the racing circuit informed teams they must sign a charter agreement extension. The document spanned over a hundred pages outlining team compensation and a guaranteed entry in Nascar-sponsored races.
Choosing Litigation
Jordan said that 23XI and Front Row Motorsports concluded their only feasible option was to refuse a signature that 112-page package and litigate the matter. The other 13 organizations agreed to the terms.
The team owners approached Nascar about potential amendments or extension options. Nascar refused to engage, Jordan said.
The Ultimate Motivation: Winning
But in the end, the resistance against what he saw as a unsustainable system was driven by the familiar goal for Jordan: Winning.
“Denny convinced me getting a third driver improved our chances to win,” he said, sharing that he purchased another franchise late in 2024 for $28 million amid the legal dispute. “So I dove in.”
Heather Gibbs’ Testimony
Heather Gibbs detailed her request for permanent charters, which she said a formal letter to Nascar. She said the timing of the contract signing demand didn’t sit well.
According to her, the team founder first attempted to call and persuade Nascar against demanding signatures, but Nascar’s leader refused the appeal.
“Please don’t force this on us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. The response was, “Whether I have 20 charters, I have 20. If I have 30, that’s the number.”