[News] Evander Kane, $26.8 million in debt, files for bankruptcy

[Geeoff]

Originally Posted by Monahammer

Is there precedent for a club/player agreeing to void a contract like kane's? Seems very strange...

From a Flames perspective, Ales Kotalik. We traded him to Buffalo and then they agreed to void his contract so he could play in Europe

[Erick Estrada]

Originally Posted by Locke

Yeah, I came to say this.

This is so, so greasy.

Can lawyers actually say this in court if it's not true?

[Jacks]

Originally Posted by I-Hate-Hulse

I can't read that article... on what basis are they looking to void this contract?

Any contract can be voided if the player and team agree.

I wonder if this is a case of void the contract, go through bankruptcy, sign a new contract. Not sure if the judge couldn't put a garnish on future NHL earnings as part of the bankruptcy settlement.

[sureLoss]

Originally Posted by Erick Estrada

Can lawyers actually say this in court if it's not true?

Why couldn't it be true? If you were Kane and almost all of your NHL salary were to go back to paying creditors, would you want to keep punishing your body?

I could see the case if a judge decides to garnish too much of his remaining salary, he may decide to just get the contract voided. I think the Sharks would be fine with it too given the Salary Cap jail they are currently in.

[troutman]

Originally Posted by Erick Estrada

Can lawyers actually say this in court if it's not true?

What's not true?

Lawyers are not under oath in court, but they may not mislead the Court.

Alberta - Code of Conduct

https://documents.lawsociety.ab.ca/w...11909/Code.pdf

When acting as an advocate, a lawyer must represent the client resolutely and honourably within the limits of the law, while treating the tribunal with candour, fairness, courtesy and respect

When acting as an advocate, a lawyer must not:knowingly attempt to deceive a tribunal or influence the course of justice by offering false evidence, misstating facts or law, presenting or relying upon a false or deceptive affidavit, suppressing what ought to be disclosed or otherwise assisting in any fraud, crime or illegal conduct;

[Jacks]

Good thing he likes to carry cash around, his credit rating isn't going to look pretty after this.

[Locke]

Originally Posted by Erick Estrada

Can lawyers actually say this in court if it's not true?

It is not a lie....if you believe it!

[FlamesAddiction]

Theoretically, if they voided his contract and re-signed him, I would expect the NHL to insist that his new contract have to start next season or have him go through waivers. The CBA may not express this specifically, but it would be a case of the NHL deciding what is appropriate.

I think there has to be something in place to stop teams from doing this, otherwise more teams would do it. They could just tell a player that they will bury their cap hit in the minors if they don't agree to terminate the contract and sign a new one. Some players would say screw you and just take the bigger pay, but some would probably accept it to stay in the NHL and prove their value for their next contract.

[GioforPM]

From a bankruptcy law perspective:

A. The lawyer wasn’t lying as far as I can see - he’s just stating a possibility and a position.
B. If the Sharks and Kane mutually terminated the contract and then just re-signed a new one, assuming bankruptcy laws are similar to here, the creditors could still argue a couple things. First, Kane will still have a bunch of “surplus income” which is income over and above set amounts deemed necessary to live on, that goes to the bankruptcy estate. Second, they could argue he’s essentially creating a fraudulent conveyance, sort of like seeking your BMW to your brother for a dollar before you go bankrupt, and he lets you use it for free. Given the nature of Kane’s creditors, they aren’t going down without a fight.

[Erick Estrada]

What cause would the Sharks have to terminate the contract that would appease the NHLPA? This is all kind of greasy.

[Locke]

Originally Posted by Erick Estrada

What cause would the Sharks have to terminate the contract that would appease the NHLPA? This is all kind of greasy.

I hate to say it but...I know Vegas has changed, but the people he owes this money to dont care.

Theres probably things we dont know, but this is probably a lot worse than we know.

[Calgary4LIfe]

Originally Posted by Erick Estrada

What cause would the Sharks have to terminate the contract that would appease the NHLPA? This is all kind of greasy.

No cause... other than Kane asking for it?



It isn't the Sharks pushing for this and only the Sharks having their wants/needs in this. If it was, Kane would file a grievance with the NHLPA, and it wouldn't happen.

[Fighting Banana Slug]

I definitely think that this is just leverage to allow Kane to keep more of his earnings. Terminating the contract would be rather extreme for a guy in his position. I mean, what exactly are his prospects for income outside of an NHL contract?
Professional gambler sounds like a poor choice...

[Backstop]

Originally Posted by Locke

I hate to say it but...I know Vegas has changed, but the people he owes this money to dont care.

Theres probably things we dont know, but this is probably a lot worse than we know.

This, without suggesting anything other than a hypothetical, large gambling debts could potentially also mean gambling debts owed on the street. Those debt holders dgaf what's decided in court and will get their cash, unpleasantly.

[jaikorven]

If some of these darker theories are true it certainly compounds the negative view so many already have for this player. I feel that if the contract is terminated, I myself hope that the NHL changes that loophole asap and that the Sharks are penalized in some way.

[FlamesAddiction]

Originally Posted by jaikorven

If some of these darker theories are true it certainly compounds the negative view so many already have for this player. I feel that if the contract is terminated, I myself hope that the NHL changes that loophole asap and that the Sharks are penalized in some way.

Yeah, don't like the slippery slope it creates.

But if anything comes out of this, I hope the NHL or NHLPA establishes some kind of intervention process for someone who gets caught up in all this. I am not saying personal accountability isn't important, but sometimes people need help and don't realize it or are afraid to ask. He wouldn't be the first one to ruin their life because of a gambling addiction. I find it sad that in all likelihood, people around him in the league saw him spiraling out of control and just watched.

[Locke]

Originally Posted by Backstop

This, without suggesting anything other than a hypothetical, large gambling debts could potentially also mean gambling debts owed on the street. Those debt holders dgaf what's decided in court and will get their cash, unpleasantly.

Yeah. These are people who make a living 'getting their money.' A nice bit of legal trickery seems short-sighted.

He may not get another NHL contract because he has suddenly developed issues with his knees...

Of all industries to owe money to...the Government, Loan establishments, banks.....but Vegas Casinos?

You've got to be insane.

[DeluxeMoustache]

Originally Posted by Locke

Yeah. These are people who make a living 'getting their money.' A nice bit of legal trickery seems short-sighted.

He may not get another NHL contract because he has suddenly developed issues with his knees...

Of all industries to owe money to...the Government, Loan establishments, banks.....but Vegas Casinos?

You've got to be insane.

It will be a more exciting movie than McDavid’s recovery from his knee injury, I’m thinking

[burn_this_city]

Who will lend to NHL players going forward if they can get out of their guaranteed contracts to escape debt via bankruptcy? Would have to think this would be a precedent to the detriment of the average player. Maybe I'm out to lunch.

[Roof-Daddy]

I know the thread isn't really about this, and I realize Evander Kane is pretty much a giant dooosh nozzle, but if this were to happen I think the Flames should try sign him.

Is that even possible?