Michael Jeffrey Jordan, introducing himself formally in a federal courtroom on Friday, stated that his drive to win and status as a newcomer motivated his effort with 23XI Racing to “challenge” Nascar over alleged violations of antitrust rules.
The owner disclosed financial and corporate details of his racing venture, revealing he put in $40m of his personal wealth into the Nascar Cup series team co-founded with partner Polk and longtime driver Denny Hamlin.
“It fell to someone to act,” Jordan said in the Charlotte courtroom. “I was a new person, I wasn’t afraid. I believed I could take on Nascar in its entirety. From my perspective, the sport required examination from a different view.”
At issue is 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 NBA’s Hornets or the NFL’s Panthers. This deal was due to end in 2024 when Nascar demanded teams renew their charters.
Jordan was on the witness stand for about sixty minutes and exited the courthouse to a media frenzy, with onlookers and reporters clamoring for a view or a photo of the global icon.
23XI Racing is at the forefront of the push along with another racing team for Nascar to overhaul a operating model Jordan contended is breaking the law to maintain excessive control.
At issue for Jordan and Heather Gibbs, who testified before Jordan, are details from last September. She recounted a frantic and emotional period where the racing circuit told teams they must sign a contract extension. This agreement consists of 112 pages detailing team compensation and a guaranteed entry in every race.
Jordan explained that 23XI and Front Row Motorsports concluded their only feasible option was to decline to sign that 112-page package and litigate the matter. The other 13 organizations signed the agreement.
The team owners reached out to Nascar about potential amendments or negotiations. Nascar wasn’t talking, Jordan said.
Ultimately, the resistance against what he saw as a unsustainable system was mostly about the usual bottom line for Jordan: Success.
“Denny convinced me getting a third driver improved our chances to win,” he testified, sharing that he purchased another franchise late in 2024 for $28m amid the legal dispute. “So I dove in.”
Heather Gibbs detailed her request for permanent charters, which she said a formal letter to Nascar. She testified the pressure of the signature deadline was problematic.
According to her, Joe Gibbs first tried to call and talk Nascar out of demanding signatures, but Nascar’s leader refused the appeal.
“Don’t do this to us,” Heather Gibbs said was the message to Nascar’s leadership. She said France replied, “Whether I have 20 charters, I have 20. If I have 30, I have 30.”
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