Texas Longhorn and out-of-work NFL quarterback, Vince Young, fumbled millions of dollars, which led to a recent chapter 11 bankruptcy filing. Young was the super-star quarterback who led the University of Texas Longhorns to a NCAAA championship in the 2006 Rose Bowl against the USC Trojans.
A petition filed in a Houston, Texas bankruptcy court states that Young’s financial holdings are between $500,001 and $1 million while is liabilities are between $1,000,001 and $10 million. The former 2006 third round NFL draft pick is fighting lawsuits that stem from a loan that was taken in his name during the 2011 NFL lockout. A loan of $1.8 million has now ballooned to nearly $2.5 million as attempts to collect have failed.
Pro Player Funding, a New York lending company, has won a judgment in a New York state court, which has placed Young in a position to file for Chapter 11 federal bankruptcy protection. The funding company claims Young took out a loan of $1.8 million in 2011 and numerous collection attempts have not been successful. The company has filed legal action to collect the money. Young says that he never received the money and is suing a company that includes Ronnie Peoples, his former financial adviser, and Major Adams II, his former agent, who Young claims conspired against him in seeking the loan.
Since Young entered professional football, he has earned $34 million and seems to have fumbled it away forcing him into Chapter 11 bankruptcy. Typically individuals file a Chapter 13, which allows court appointed trustees to determine what assets are to be liquidated to satisfy the courts financial pay-back structure. However, Young filed Chapter 11, which is typically filed by companies which allow them to reorganize debt and position the company to move out of debt.
Houston attorney Randy Williams speculated that there were a couple of reasons why Young chose the Chapter 11. One being the debts owed were likely above the threshold for a Chapter 13 filing and two it gives Young the control to determine how assets are used to pay back debt. In the case of bankruptcy leveraging control is important to success, stated Williams. Williams said that Chapter 13 is a ‘give-up’ situation while the Chapter 11 is about getting your finances in order and moving forward.
Young is currently under a court imposed monthly spending limit and is hoping that the case against Peoples will soon be decided in his favor which will allow Young to begin funneling money to Pro Player Funding.
Young was a college superstar player who led the University of Texas Longhorns to its 2006 BCS Championship against defending champions USC Trojans. Young received the Davey O’Brien Award as a junior at UT Austin. The award names the best college quarterback in the nation. Young placed second behind Reggie Bush in Heisman Trophy voting then led the Longhorns to the championship against Reggie Bush and the USC Trojans in what many called the most highly anticipated college championship game of all time.
In 2006 the Tennessee Titans selected Young with a third over-all first round NFL draft pick. While in his rookie season he received the NFL Offensive Rookie of the Year award and was selected to join the AFC Pro Bowl team. In 2009 Young was invited to his second Pro Bowl and was announced as Sporting News NFL Comeback Player of the Year. He was cut from the Titans in 2011 after a disagreement with team coach Jeff Fisher. Young then bounced from the Philadelphia Eagles to the Buffalo Bills and finally the Green Bay Packers. Each signing was short and now Young finds himself a free agent in 2014 after millions fumbled and landing in bankruptcy court. At 30 years of age can Young get his financial house in order and find a team to play for?
By Anthony Clark