• Loading stock data...
Sunday, November 24, 2024
Law

Why Shilo Sanders’s NIL Deals Are an Issue in His Ongoing Bankruptcy

  • Shilo plays for his father, Deion Sanders, at Colorado. 
  • Lawyers believe Sanders is hiding NIL funds.
Candice Ward-USA TODAY Sports

In 2022, a court ruled that Colorado safety Shilo Sanders owed John Darjean more than $11 million in damages. Darjean, a security guard at Sanders’s Dallas-area high school, alleged that Sanders assaulted him in 2015—when the football player was just 15—badly injuring his back.

Sanders and his father, Colorado football coach Deion Sanders, have denied the allegations, accusing Darjean of instigating the incident. But the enormous judgment against him led him to declare bankruptcy last year. Sanders’s lawyers said at the time that he wanted to “get a fresh start, free from the oppressive burden of his debts,” which are almost entirely owed to Darjean.

Now, the bankruptcy case pursuing Sanders’s assets says the safety is not being fully honest about his income—assets that would go to Darjean as the primary creditor in the bankruptcy case.

On Tuesday, the judge overseeing the case approved a request to hire a special counsel after reaching an “impasse” with Sanders’s legal team over his income from name, image, and likeness deals. USA Today first reported the legal move.

The request of a special counsel, which was filed Monday but approved Tuesday, is the latest attempt for the trustees to accumulate Sanders’s assets to sell off. 

Sanders has a large array of NIL deals, but the bankruptcy trustee says he hasn’t been transparent about them in the case.

“While the Debtor has provided the Trustee with certain NILs, the Trustee needs to confirm he has received all of the NILs and has full information of the use of revenue generated by the NILs,” read the request for the special counsel.

Lawyers for Darjean say Sanders has used LLCs to hide some of his NIL income, according to USA Today. Deals with Oikos and KFC—companies that Sanders has appeared in ads for—were not included in the $193,713 in 2023 income Sanders declared in the case, according to Darjean’s lawyers.

Sanders and his father did not publicly comment on the filing until earlier this summer, and they brushed it off when they finally did so. “Shilo’s good,” the elder Sanders told USA Today last month. “You know what I want you to do? I want you to do this for me: I want you to do your homework and do a whole investigation on that and then write that. I mean the whole complete investigation on what truly happened.”

Sanders, now 24, is a graduate student in his final season of eligibility.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Can an Elite Women’s Soccer School Survive the New College Sports Moneyball?

Santa Clara faces an uphill battle in the new college sports landscape.
Billionaire Larry Ellison

Oracle Billionaire Larry Ellison Funded Michigan’s NIL Stunner

It appears to be Ellison’s first major investment in college sports.

Reader Mailbag: Why Are NBA Ratings Down to Start the Season?

NBA viewership is down 28% on ESPN through the first four weeks.
podcast thumbnail mobile
Front Office Sports Today

How Conference Expansion Has Changed College Football

0:00

Featured Today

Nov 16, 2024; Washington, District of Columbia, USA; Washington Spirit forward Trinity Rodman (2) celebrates after defeating NJ/NY Gotham FC in a 2024 NWSL Playoffs semifinal match at Audi Field. Mandatory Credit:

The Washington Spirit’s Business Makeover Carried Them to the Finals

The team’s return to the NWSL championship looks a lot different from 2021.
Nov 18, 2023; Las Vegas, Nevada, USA; Williams Racing driver Logan Sargeant of the United States (2) during the Las Vegas Grand Prix at Las Vegas Strip Circuit.
November 21, 2024

F1 Grand Prix Upended Vegas Last Year. Stakes Are High for Its..

Stakes are high as F1 gears up for a successful second act.
Classic Football Shirts New York Pop-Up
November 18, 2024

Vintage Soccer Jerseys Have Found a Sweet Spot in the Lucrative U.S...

The money-making shirts are at the prime intersection of memorabilia and fashion.
Nov 13, 2024; New York, New York, USA; New York Knicks guard Josh Hart (3) reacts after fouling Chicago Bulls guard Coby White (not pictured) during the second half at Madison Square Garden.
opinion
November 16, 2024

NBA Ratings Rorschach Test: Buy the Dip

Was it the election? Too many threes? Lack of storylines?
November 8, 2024

Michael Jordan’s Team Loses Bid for Temporary Injunction Against NASCAR

The teams can still compete, but will miss out on certain guarantees.
Jul 8, 2021; Phoenix, Arizona, USA; Phoenix Suns owner Robert Sarver reacts during the second half in game two of the 2021 NBA Finals at Phoenix Suns Arena. Mandatory Credit:
November 14, 2024

Former Suns Employee Sues Team Over Wrongful Termination, Retaliation

Andrea Trischan was the team’s former DEI program manager.
Sponsored

How UBS Crafts Impactful Partnerships Across Sports, Arts, and Culture

As UBS continues to expand its impressive array of sports and entertainment partnerships, the company solidifies its position as a leader in wealth management.
Brett Favre and Donald Trump
November 7, 2024

What Donald Trump’s Win Means for Welfare Probe, Brett Favre

Favre spoke at Trump’s rally last week in Green Bay, Wis.
October 25, 2024

Everything You Need to Know About the Kawhi Leonard Lawsuit

A longtime trainer of Leonard’s is suing the Clippers for wrongful termination.
Oct 22, 2024; Los Angeles, California, USA; Los Angeles Lakers guard Bronny James (9) and forward LeBron James (23) warm up before a game against the Minnesota Timberwolves at Crypto.com Arena.
October 24, 2024

LeBron and Bronny James Target of Lawsuit Over 2022 Car Crash

They made history Tuesday as the NBA’s first father-son teammates.
Apr 3, 2022; Arlington, TX, USA; WWE owner Vince McMahon enters the arena during WrestleMania at AT&T Stadium.
October 23, 2024

Former WWE ‘Ring Boys’ Allege Vince McMahon ‘Allowed’ Sexual Abuse

The suit claims the WWE and the McMahons “failed these boys.”