The NBA legend Testifies He ‘Wasn’t Afraid’ of Nascar in Antitrust Trial

Michael Jeffrey Jordan, introducing himself formally in a federal courtroom on Friday, admitted that his drive to win and status as a newcomer emboldened his effort with 23XI Racing to confront Nascar over perceived violations of antitrust rules.

Financial Stakes and a Competitive Drive

The owner disclosed financial and corporate details of his 23XI team, revealing he put in $40m of his personal wealth into the Nascar Cup series team launched with partner Polk and longtime driver Denny Hamlin.

“Someone had to step forward,” Jordan stated 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.”

The Core Dispute: Franchise System and Renewal Demands

The heart of the case involves the end of a 2016 deal where Nascar provided each team a “charter”. The concept is similar to other major leagues with independent franchises, such as the NBA’s Hornets or the Carolina Panthers. The agreement was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan testified for about sixty minutes and exited the courthouse to a media frenzy, with fans and media 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 another racing team for Nascar to overhaul a business model Jordan said is unlawful to keep two hands on the wheel.

For Jordan and and Heather Gibbs, who testified before Jordan, are events from September 2024. Gibbs described a hectic and tense period where the racing circuit informed teams they must sign a contract extension. This agreement spanned over a hundred pages detailing pay for chartered teams 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 take the issue to court. The other 13 organizations agreed to the terms.

The team owners approached Nascar about possible changes or negotiations. Nascar refused to engage, Jordan said.

The Bottom Line: Victory

But in the end, the pushback against what he saw as a unsustainable system was driven by the familiar goal for Jordan: Winning.

“Hamlin persuaded me getting a third driver improved our chances to win,” he said, noting that he purchased another franchise late in 2024 for $28m despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

Gibbs described her push for indefinite franchises, submitted in a written letter to Nascar. She said the timing of the signature deadline was problematic.

According to her, the team founder first tried to call and talk Nascar out of demanding signatures, but Nascar’s leader declined the request.

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