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Michael Jeffrey Jordan, as he cordially introduced himself in a federal courtroom on Friday, stated that his competitive side and status as a newcomer emboldened his push for 23XI Racing to confront Nascar over perceived violations of competition laws.

Team Investment and a Will to Win

Jordan shared operational insights of his 23XI team, saying he invested $40 million of his personal wealth into the Cup Series operation launched with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan said during testimony. “I was a new person, 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 Contract Pressure

The heart of the case involves the end of a 2016 agreement where Nascar provided each team a franchise. The concept is similar to other professional sports with separately owned franchises, like the NBA’s Hornets or the Carolina Panthers. This deal was due to end in 2024 when Nascar insisted on teams renew their charters.

Jordan testified for an hour and exited the courthouse to a media frenzy, with onlookers and reporters vying for a glimpse or a picture of the global icon.

Leading the Legal Charge

23XI Racing is leading the full-court press along with Front Row Motorsports for Nascar to change a operating model Jordan contended is breaking the law to maintain excessive control.

At issue for Jordan and a fellow team representative, who preceded Jordan, are events from last September. She recounted a frantic and emotional period where the sanctioning body informed teams they must sign a charter agreement extension. This agreement spanned 112 pages detailing team compensation and a guaranteed spot in Nascar-sponsored races.

Choosing Litigation

Jordan said that his team and its ally 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 negotiations. Nascar refused to engage, Jordan said.

The Bottom Line: Victory

Ultimately, the pushback against what he saw as a financially unsustainable model was driven by the usual bottom line for Jordan: Success.

“Denny convinced me adding a third car improved our chances to win,” he said, noting that he purchased another franchise late in 2024 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 didn’t sit well.

She said, Joe Gibbs first tried to call and persuade Nascar against demanding signatures, but CEO Jim France refused the appeal.

“Don’t do this to us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. The response was, “If I wake up and I have 20 charters, I have 20. If I have 30, I have 30.”