Monday, October 5, 2026
  • -
    days
  • -
    hours
  • -
    minutes
  • -
    seconds
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

Want more from Front Office Sports
in your search results?

Add Front Office Sports on Google

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.

This field is for validation purposes and should be left unchanged.

Sign up for
The Memo Newsletter

Get the biggest stories and best analysis on the business of sports delivered to your inbox twice every weekday and twice on weekends.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Exclusive

Portnoy on Fox ‘Big Noon’ Exit: Ryan Day Thinks I ‘Doxxed’ Him

Portnoy tells FOS that Ohio State pushed for his removal.
Opinion

Tony Romo Had an Enormous Impact on NFL TV

The “Romo Effect” will be felt for years to come.

Rams Avoid Calamity But Look Far From Juggernaut One Month In

They’re 2-2 after rallying to beat the Eagles.
podcast thumbnail mobile
Front Office Sports Today

A Conversation with Gronk about Sports Betting, Tom Brady & More

0:00

Featured Today

How the Baseball Cap Became a ‘Behemoth’

The hat has become essential for athletes, fans, and the sports-agnostic.
Morishita-Sato-homerun-celebration-at-Meiji-Jingu-Baseball-Staidum-2025
September 28, 2026

Japanese Baseball Is Fighting Back Against MLB Talent Drain

Nippon Professional Baseball is reimagining how to be a global juggernaut.
Aug 9, 2026; Bedminster, New Jersey, USA; President Donald Trump walks out of the clubhouse during the final round of the LIV Golf New York tournament at Trump National Bedminster.
September 25, 2026

Trump’s Year of Sports Gets Busier With CFB, Presidents Cup

The impact of Trump’s attendance varies across each sporting event.
A Bar of Their Own
September 25, 2026

Women’s Sports Bars: Novelty Has Worn Off, ‘That’s a Good Thing’

They’re leveling up, but sustainability remains the first consideration.
Hot & Social/Mets
September 18, 2026

Sports Teams Are Playing a New Role: Matchmaker

The latest promotion at the stadium? Love.

WPBL Records Case Alive Despite Board Member’s Firing

The league’s CEO tried to end the board member’s case by firing her.
Polymarket logo appears in this illustration taken April 22, 2026.
September 24, 2026

New York Takes Aim at Polymarket With $4.6B Suit

“Our gambling laws exist to protect New Yorkers.”
Mar 16, 2026; Inglewood, California, USA; LA Clippers owner Steve Ballmer reacts against the San Antonio Spurs in the first half at Intuit Dome. Mandatory Credit: Kirby Lee-Imagn Images
Exclusive
October 2, 2026

Ballmer Drops Lawyer Who Called NBA Probe a ‘Witch Hunt’

O’Melveny & Myers had been representing Ballmer in multiple matters.
Sponsored

Beyond the Scorecard: How Dow Is Putting Purpose at the Center of Women’s Golf

Discover how Dow and the LPGA are building a partnership with lasting impact.
September 17, 2026

Mark Walter and His Insurance Empire Face New Class Action Suit

An annuity holder sued the owner of the Dodgers and his companies.
Mar 21, 2026; Dallas, Texas, USA; LA Clippers forward Kawhi Leonard (2) looks on during the game between the Mavericks and the Clippers at American Airlines Center. Mandatory Credit: Jerome Miron-Imagn Images
September 11, 2026

Kawhi Leonard Saga Enters Uncharted Territory With Federal Probe

News of the probe comes a week after the NBA announced its punishment.
Cortlandt defeats Pearl River 7-2 in ice hockey action at Bear Mountain Ice Rink in Stony Point on December 16, 2025.
September 11, 2026

Parents Sue Black Bear Sports Over Youth Hockey Hotel Tactics

The suit seeks at least $5 million in damages.
September 3, 2026

Enes Kanter Freedom Sues Chicago Sky, City of Chicago

Sky owner Michael Alter said Freedom “made himself into a threat.”