Despite the football league filing for bankruptcy, its former director still wants to be paid
After just starting its first season (second, if you count the unsuccessful attempt in 2001), the XFL suspended its activities quickly due to the coronavirus pandemic. This situation pushed the league to shut down and file for bankruptcy a few weeks ago and, now, the former director of the league, and also former West Virginia University quarterback and athletic director, Oliver Luck, has filed a lawsuit against the league’s owner, Vince McMahon, for wrongful termination. Luck claims that he is still owed money from McMahon, money that the two agreed on 2018 when they signed his contract to be the man leading the league’s operations.
According to the filing, the contract between Luck and the XFL was worth $20-$25 million, which Luck was supposed to get even if the league was terminated for some reason. He is not the only one who the XFL owes money to; there are apparently several members still awaiting money. On April 13, the league filed for bankruptcy; however, Luck was listed nowhere as a creditor. Per Action Network, under the contract, it was specified that Luck would receive the remainder of the contract even if the league shut down.
When the XFL was preparing to file for bankruptcy, Luck presented all the executive contracts, but the league rejected all of them when submitting the bankruptcy form. It also seems to be that the court processing the case has also agreed with the league rejecting every contract, which has forced Luck to use an alternate resource to receive his compensation. On one side, it is understandable why the league ended the way it did, although Luck has reasons for what he is doing. Most likely, someone will finish with several million out of this situation.