XFL players get pennies on the dollar from bankruptcy

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The pandemic killed the resurrected XFL. The league, before being sold to The Rock, went through bankruptcy. Now, the players for XFL 2.0 have gotten their money.

It’s not much.

Via Daniel Kaplan of TheAthletic.com, XFL players will get as little as four cents on the dollar for their claims for unpaid wages.

The average claims were in the range of $14,000. Some will get less than $600.

And it gets worse. They won’t get the money until the end of this year or early next year.

XFL 3.0 will return as soon as 2022. It remains to be seen whether the newest version will thrive.

16 responses to “XFL players get pennies on the dollar from bankruptcy

  1. if they cant pay the players should they be allowed to try again in a year? that obviously takes a lot of money

  2. “The pandemic killed the resurrected XFL.”
    __________

    That’s a covenient excuse but Vince McMahon is who really killed it. Nobody with a clue starts a league with the plan of it having to turn a profit in Year 1 else you’ll shut it down immediately. (Very few businesses make money their first year or two.) And certainly nobody who’d already failed with the EXACT SAME IDEA a few years prior. McMahahon restarted the XFL entirely because he was made the AAF didn’t let him in, but then when the AAF folded up he had nobody to stick it to any longer so he turned the XFL into a big tax right off for himself and the WWE.

  3. Creditors are first in line at bankruptcy. They would know that if they played school.

  4. If I were the rock, I’d pay them out of my own pocket. It makes good business sense. I’ve had to do that in a failed startup myself and it created a lot of respect and loyalty.

    Your spending millions on this project, at most it is another million. Knowing that the previous players didn’t get screwed, will make the future ones more likely to give it a shot.

  5. dartmouthstevens says:

    June 23, 2021 at 10:34 am

    If I were the rock, I’d pay them out of my own pocket. It makes good business sense. I’ve had to do that in a failed startup myself and it created a lot of respect and loyalty.

    Your spending millions on this project, at most it is another million. Knowing that the previous players didn’t get screwed, will make the future ones more likely to give it a shot.
    ——————
    1st off your not comparing similar scenarios. Your failed startup was yours and you had a hand in it, the Rock had no part in it and bought the name.
    2nd not that it matters but your math is EXTREMELY far off as well. With about 450 plus players in the xfl if only half had claims and since the average claim is $14,000 well 225×14,000=3.15 million! So the Rock paid only about 15 million for the XFL and now your saying he should spend another 3 plus million or 20% of what he spent purchasing the entire business for employees with no value to the future of the business…

  6. Employees are generally first in line in bankruptcy, even before lenders. The XFL 2.0 players must be construed as “contractors”.

    Agents / Players in XFL 3.0 should demand payment up front in order to prevent this from inevitably happening again…not that they’ll have much leverage.

  7. How is Vince allowed to get away with this? He obviously has the money to pay the players. But he can just declare bankruptcy and avoid any financial obligations.

  8. mrf47 says:
    June 23, 2021 at 12:03 pm
    Employees are generally first in line in bankruptcy, even before lenders. The XFL 2.0 players must be construed as “contractors”.

    ***************************

    That’s incorrect. Costs related to the bankruptcy proceedings are first in line followed by secured creditors. Employees are generally third in line.

  9. Yeah, this is just corporate greed and malfeasance. Someone with billions shouldn’t be avoiding paying players who were already underpaid. This is really crappy.

  10. jhorton83 says:
    June 23, 2021 at 12:20 pm
    How is Vince allowed to get away with this? He obviously has the money to pay the players. But he can just declare bankruptcy and avoid any financial obligations.
    ——————

    Welcome to Business 101.

    Wealthy people have used bankruptcy and LLC’s to walk away from debt for decades.

  11. boogiewstu says:
    June 23, 2021 at 10:30 am
    Creditors are first in line at bankruptcy. They would know that if they played school.
    _____________

    Not exactly correct. Secured creditors are near the first of the line, after unpaid taxes and a few others. Unsecured creditors, which includes the players, are at the end of the line.

  12. Vince McMahon is wealthy enough, he should have had to cover or should have covered the players wages.

  13. Vince McMahon strikes again. Then again you don’t reach billionaire status without being a slimy individual for the most part.

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