Just weeks after filing for bankruptcy and listing nearly $ 27 million in total debt, Evander Kane and the San Jose Sharks plan to end the remaining four seasons of his seven-year, $ 49 million contract.
According to Daniel Kaplan and Kevin Kurz of The Athletic, Kane and the Sharks have told federal bankruptcy court they are considering terminating the contract, which is expected to pay an additional $ 29 million up front.
While at first glance it looks backward, the contract itself is what Kane used to acquire loans from multiple creditors. If the contract were to be terminated, this could, according to The Athletic, “deprive creditors of their main source of financial redress.”
The deadline to terminate the contract was recently pushed back another 90 days by a bankruptcy judge, which likely means Kane will play the rest of the season in San Jose and continue to win on the deal.
San Jose, meanwhile, may be interested in canceling the deal just because Kane is not meeting expectations of a $ 7 million annual salary. Kane has a respectable nine goals and 20 points in 23 games for San Jose and is the team’s second-leading scorer, which would be considered a reasonably solid production in a vacuum, but perhaps not enough given its annual intake and the Sharks’ status as a retooling organization dealing with the financial repercussions of playing during a pandemic.
Kane and the Sharks are silent on the subject.
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