Sep 4, 2021
It’s been nearly two-and-a-half years since the Alliance of American Football, a start-up pro league, cratered after eight games and then filed for Chapter 7 bankruptcy. Since then a narrative emerged that founder Charlie Ebersol ran the league into the ground amid a financial house of cards while Carolina Hurricanes owner Tom Dundon, who bought the league on the verge of collapse in February 2019, did the only thing he could by closing the doors seven weeks later after pumping in $70 million.
That storyline took a major hit with what can only be described as a startling turn in the ongoing bankruptcy proceedings and intertwined litigation brought by former players. A court-appointed bankruptcy trustee is proposing a settlement in the players’ case that drops Ebersol as a defendant — without him paying a penny — but leaves Dundon’s status unchanged. In fact, the trustee, Randolph Osherow, wants the court’s OK to hire the AAF players’ lawyers to pursue an adversarial case against Dundon.
Source: Daniel Kaplan for The Athletic