Kane's latest court filing paints a bleak picture of his financial situation

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Brennen Beaudin
February 25, 2022 (3:04 PM)

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Evander Kane doesn't just have uncertainty surrounding his next professional contract, but also with his financial outlook.

The latest official letter in his 13-month war with Chapter 7 bankruptcy creditors is the first one since the Sharks released the forward for violating COVID-19 protocols. This caused Kane to lose the nearly $23 million remaining.

Kane is now arguing that this lost money hurts Zions Bancorp's and South River Capital's efforts to move the bankruptcy to Chapter 11. This would allow his future earnings to be obtainable to creditors, and Kane argues that this money they are seeking will not exist.

"The National Hockey League Players' Association (the NHLPA) intends to pursue a grievance on behalf of Kane following the Sharks' termination of Kane's contract, but the outcome is unclear and Kane currently has no contract or the anticipated salary from the remainder of his deal with the Sharks," Kane's court filing read. "Kane's professional prospects are uncertain."

A bankruptcy judge already ruled against Zions and other lenders last year, after realizing that the Sharks were likely to cut Kane.

"The NHL Contract permits the Sharks to terminate (Kane)'s services," Judge Stephen Johnson wrote. "If terminated without cause, (Kane) is entitled to a reduced salary payment extended over twice the length of the original agreement. In other words, Debtor is paid some of what he would otherwise be due under the agreement, but it is paid over a longer period of time. He is then an 'Unrestricted Free Agent' and no longer attached to the Sharks. On the other hand, if (Kane) is terminated for cause, he loses his right to compensation."

Kane is hoping that his argument that it would not make sense to change his case to Chapter 11 bankruptcy would cause little or no money to flow in for the estate to obtain and give to the said lenders.

"What is clear, is it is not possible for this Court to grant effective relief to Zions because Zions cannot depend on Kane's terminated contract to fund a Chapter 11 plan," Kane's filing reads. "Indeed, Kane's professional prospects beyond the current season are uncertain. Were this Court to reverse the Conversion Order and remand the case to the bankruptcy court, there would be no basis to reconsider the Conversion Order because the underlying contract is gone."

Kane continues to be surrounded by messy situations, and it seems that this is only the beginning of an uphill financial battle.

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