A former commissioner and a TV consultant both sued the Arena Football League last month for allegedly not paying them, and they claimed in their legal briefs the league may be insolvent.
The league, which filed for bankruptcy protection and canceled a season in 2009 before resuming play in 2010, rebutted the claims of insolvency.
“We don’t comment on legal issues, but regarding the league everything is business as usual and we are looking forward to an exciting round [of] playoffs starting next week,” said AFL Commissioner Scott Butera last week in a text message. “The August 26 Arena Bowl looks to be one of our best as well.”
That stands in contrast to the claims made by Jerry Kurz, an original AFL founder, and Neal Pilson, the former CBS Sports president who now runs his own consultancy.
“The AFL has notified Kurz of its intent to breach its financial obligations … for alleged economic reasons suggesting its insolvency,” Kurz’s lawyers wrote in his federal complaint, which asks for $437,177.05 plus other costs. Both lawsuits are filed in federal court for the Northern District of Illinois.
Pilson, represented by the same lawyers, used identical language in his complaint, which states his damages are in excess of $75,000. Pilson referred questions to his lawyers at Esposito & Staubus, who did not respond for comment. Kurz, who was the AFL’s commissioner from 2010 to 2014 and later became the league’s president, did not reply for comment.
Kurz is no longer listed among the league’s executives on the AFL’s website, but it was unclear last week if he has any continuing role with the league or if and when he left the league.
Pilson has been a consultant to the AFL since 2010 when it emerged out of bankruptcy.
The AFL launched in 1987. Its games are broadcast on CBS Sports Network and on ESPN.