There have been quite a few news stories lately about sports stars who have filed for bankruptcy relief, along with even a sports team considering filing bankruptcy . The major league ballclub, the Chicago Cubs, is considering filing a Chapter 11 bankruptcy as part of closing the sale of the team by its parent Tribune Co. as reported in the July 13, 2009 article in the Chicago Tribune. If the Cubs seek bankruptcy relief, it would be the first team to file in nearly four decades.
This news closely follows the filing of bankruptcy by sports star, Randy Brown, a former Chicago Bulls point guard, and Lenny Dykstra, the former star centerfielder for the Phillies and Mets. They join fellow athletes including:
- Joe Louis (boxer)
- Mike Tyson (boxer)
- Evander Holyfield (boxer)
- Bjorn Borg (tennis player)
- Johnny Unitas (former quarterback for Indianapolis Colts)
- Denny McClain (former pitcher for Detroit Tigers)
- Jack Clark (former powerhitter for several major league teams)
The Chicago Sun Times reported that as a result of Randy Brown’s bankruptcy filing, he lost his house, cars, and precious jewels. Brown stated that what hurt him most was the Bankruptcy Judge ordering him to sell his three Chicago Bulls championship rings.
Please be aware that most debtors who file for bankruptcy do not end up losing assets like Randy Brown did. Mr. Brown had significant assets in which his equity in those assets could not be protected by the applicable statutory exemptions. Most debtors’ assets can be protected by applicable bankruptcy exemptions. An experienced bankruptcy attorney should be able to inform you of any assets that might be at risk prior to filing your bankruptcy proceeding.