Shilo Sanders, a football safety from Colorado, filed for bankruptcy last October with over $11 million in debt, mostly due to a $12 million judgment against him for damages resulting from an assault on a security guard at his former school in 2015.
The guard, John Darjean, claimed severe and permanent injuries, including neurological damage and damage to his cervical spine.
Shilo Sanders, who is the son of Colorado head coach Deion Sanders, filed for bankruptcy to discharge the $12 million debt resulting from the assault lawsuit.
However, the security guard, John Darjean, is still pursuing collection of the judgment and has brought up questions in court about Shilo Sanders’ earnings from college name, image, and likeness (NIL) deals.
“Shilo is the honest but unfortunate debtor looking to get his fresh start in life, free from the oppressive burden of his debts, including the default judgement to the Plaintiff,” Shilo Sanders’ attorney wrote in a court filing in February.
The University of Colorado and both Shilo and Deion Sanders have declined to comment on the matter.
What Happened In 2015?
The incident occurred when Shilo Sanders was 15 years old and attending Triple A Academy in Dallas, where John Darjean was employed as a security guard.
Darjean claimed in his lawsuit that Sanders assaulted him after being told not to use a cell phone on school property during school hours and refusing to comply with requests to surrender the phone.
“Suddenly and without warning, Shilo Sanders physically assaulted John Darjean by elbowing Mr. Darjean in the chest and neck and striking Mr. Darjean several times in the chest area and neck area,” Darjean’s lawsuit stated.
A court in Dallas County accepted John Darjean’s version of events in the absence of Shilo Sanders to contest it, leading to the judgment against Sanders.
“The Court finds that Shilo Sanders’ actions were the proximate cause of John Darjean’s injuries/damages,” said the final judgment signed by a Dallas County judge in May 2022.
“The Court further finds that Shio Sanders actions were a substantial factor in bringing about the physical and mental injuries sustained by John Darjean, without which such injuries and damages would not have occurred.”
Shilo Sanders has disputed John Darjean’s version of events in subsequent court records, stating that Darjean “cornered” him while he was talking to his mother on the phone.
Sanders’ attorney included witness statements supporting Sanders’ account in a court filing.
“What I seen was the student didn’t want to give (Darjean) his phone so (Darjean) kept on asking for it,” one of those witness statements said. “Then (Darjean) reached for it and (Shilo) pushed the adult and (Darjean) began to push him and choked him. (Shilo) was yelling,`I can’t breathe,’ and was crying and yelling; and that’s when adults came over and pulled (Darjean) off of (Shilo).”
Why Did Shilo Sanders Lose His Court Case Then?
Shilo Sanders didn’t show up for the trial, resulting in a default judgment against him. His attorney stated in court filings that he wasn’t aware of the proceedings and only learned about the judgment in 2023.
Notices for the trial didn’t reach Sanders or were sent to the wrong address, according to the court filings.
Additionally, Sanders didn’t have legal representation in the case at the time the trial notices were sent.
“In March 2022, a trial was convened in the State Court Case without Shilo’s knowledge or involvement,: his attorney explained in court filings.
“Following the State Court convening the trial, a form of judgment was submitted by the Plaintiff and his workers’ compensation insurer and was entered by the state Court without any further notice, knowledge, or opportunity to present a defense by Shilo, including the existence of pre-existing substantial injuries resulting from the Plaintiff’s prior career as a (pro) baseball player. The total amount of the judgment was in excess of $11.8 million.”
What’s The Present Scenario?
John Darjean is contesting Shilo Sanders’ bankruptcy case and is seeking payment for the court judgment against Sanders.
Darjean has raised questions about the whereabouts of Sanders’ NIL (name, image, and likeness) money.
Sanders initially listed $11.3 million in liabilities, including the court judgment, and $478,000 in assets in his bankruptcy filing.
However, the value of his assets was later amended to about $320,000, with necklaces removed from the list as they were reportedly on loan as part of an NIL deal with Saki Diamonds.
Darjean alleges that Sanders transferred NIL deals to his company, Big 21, LLC, to avoid paying his debt.
Sanders’ attorney refutes this claim, stating that Sanders received funds from his company but asserts that receiving funds from a company owned by oneself doesn’t constitute a transfer.
Sanders testified at a creditors’ meeting that all NIL agreements were with Big 21, LLC, and funds from those agreements were processed through the company’s accounts.
Sanders’ attorney emphasized that Sanders has not attempted to conceal, transfer, destroy, or alter any assets, either before or after the bankruptcy petition.
In fact, Sanders voluntarily turned over $210,000 to the bankruptcy trustee without waiting for a court order or stipulation for turnover.
Shilo Sanders Looking For A Fresh Beginning
Despite his financial challenges, Shilo Sanders, who is currently 24 years old, is gearing up for his final college season at Colorado. He was the team’s leading tackler in 2023.
According to his bankruptcy filing, he reported gross income of $193,713 in 2023 at the time of the filing in October. In 2022, while playing at Jackson State, he reported gross income of $216,950.
“Given the size of the judgment and the fact that Shilo was an undergraduate college student looking towards graduate programs, the creation of a post-judgment receivership would have a permanent effect on his ability to start his life after graduation, and would likely result in the Debtor (Sanders) remaining subject to collection efforts from the Plaintiff for the rest of his life,” his attorney wrote in the court filing from February.
“As a result, the Debtor filed his voluntary petition for relief pursuant to Chapter 7 of the Bankruptcy Code to allow him to get a fresh start, free from the oppressive burden of his debts.”