The XFL closed up shop and filed for bankruptcy last week, and former commissioner Oliver Luck is suing for the millions of dollars that were left on his contract.
Luck filed a wrongful termination lawsuit in federal court last week against WWE chairman and CEO Vince McMahon. According to Darren Rovell of Action Network, Luck’s contract was supposed to pay him between $20 million and $25 million over five years and stipulated that he would be due the remaining balance if terminated without cause.
The XFL filed for bankruptcy on April 13, but Luck and other top executives were not included in the filing. Rovell reports that Luck’s lawsuit states he was not listed as a creditor because McMahon’s company, Alpha Entertainment, filed to reject many executive contracts, and the bankruptcy approved that filing.
As sports attorney Darren Heitner explained, the situation is complicated because Luck’s contract was not with McMahon personally even if he pledged his own money to the XFL.
“The to-be-expected motion to dismiss from McMahon and the response will be interesting from a legal perspective,” Heitner said. “Luck’s contract was not with McMahon personally. Will the court be convinced that McMahon’s pledge to provide his own money adds personal liability? Seems to be a stretch.”
Luck, the father of former Indianapolis Colts quarterback Andrew Luck, was the overseer of the NCAA’s Eligibility Center prior to taking a job with the XFL. The XFL initially suspended operations amid the coronavirus outbreak and pledged to return in 2021, but they have since essentially waved the white flag.
While the rebooted XFL gained attention for some of its unique rules, interest appeared to be waning prior to the coronavirus outbreak. It’s possible the league was going to go under even without the pandemic.