Michael Jordan Tells Court He ‘Wasn’t Afraid’ of the Racing Body in Antitrust Trial

The basketball icon, as he cordially introduced himself in a federal courtroom on Friday, admitted that his competitive side and status as a newcomer motivated his push for 23XI Racing to “challenge” Nascar over alleged violations of competition laws.

Financial Stakes and a Competitive Drive

Jordan shared operational insights of his 23XI team, revealing he put in $40 million of his personal wealth into the Nascar Cup series team co-founded with business partner Curtis Polk and driver Hamlin.

“Someone had to step forward,” Jordan said during testimony. “I was a new person, I wasn’t afraid. I felt I could challenge Nascar as a whole. I felt as far as the sport required examination from a different view.”

The Core Dispute: Charter Agreements and Contract Pressure

The heart of the case involves the expiration of a 2016 deal where Nascar granted each team a “charter”. This system mirrors other major leagues with separately owned franchises, like the NBA’s Hornets or the Carolina Panthers. The agreement was set to expire in 2024 when Nascar insisted on charter membership renewals.

Jordan was on the witness stand for an hour and exited the courthouse to pandemonium, with onlookers and reporters clamoring for a view or a photo of the sports legend.

Leading the Legal Charge

Jordan’s 23XI is at the forefront of the push along with another racing team for Nascar to change a operating model Jordan said is breaking the law to maintain excessive control.

For Jordan and and Heather Gibbs, who preceded Jordan, are events from last September. She recounted a hectic and tense six hours where the racing circuit informed teams they must sign a contract extension. The document spanned over a hundred pages outlining pay for chartered teams and a guaranteed spot in every race.

A Refusal to Sign

Jordan said that his team and its ally concluded their sole viable path was to decline to sign that extensive document and litigate the matter. The other 13 organizations signed the agreement.

The team owners reached out to Nascar about potential amendments or negotiations. Nascar refused to engage, Jordan said.

The Ultimate Motivation: Winning

But in the end, the pushback against what he saw as a financially unsustainable model was mostly about the usual bottom line for Jordan: Winning.

“Denny convinced me getting a third driver improved our chances to win,” he testified, noting that he purchased another franchise last year for $28m despite the uncertainty. “So I dove in.”

Heather Gibbs’ Testimony

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

She said, Joe Gibbs first attempted to call and talk Nascar out of demanding signatures, but CEO Jim France declined the request.

“Don’t do this to us,” Gibbs recounted Joe Gibbs told Nascar’s leadership. She said France replied, “Whether I have 20 charters, I have 20. If I have 30, that’s the number.”