Suit: Ex-XFL commissioner Oliver Luck didnt deserve excessive compensation -

Former XFL commissioner Oliver Luck two years ago sued his former boss, Vince McMahon, to collect the $22.8 million that remained on his contract when the league shuttered and filed for bankruptcy in the early days of the pandemic. That case is ongoing.

Now, in a twist, the bankruptcy plan administrator for the remnants of the XFL is suing Luck for some of the more than $11 million he was paid during his commissioner tenure, arguing Luck didn’t deserve it and violated his contract.

Luck is a seasoned sports executive and father of former Indianapolis Colts quarterback Andrew Luck. The suit was filed April 11 in U.S. Bankruptcy Court for the District of Delaware.

“The Compensation was excessive and many multiples of what Luck was being paid by his employer immediately prior to Alpha,” wrote plan administrator Peter Hurwitz, referring to the XFL holding company. “Luck lacked experience and business acumen to serve as a CEO and was not qualified for this position.

“Luck’s performance as Commissioner and CEO was woefully inadequate for numerous reasons. Among other things, he failed to exercise proper business judgment; failed to comply with league policies; failed to comply with the XFL Employee Handbook; failed to attend meetings; disclosed confidential information without proper authorization; and effectively abandoned his responsibilities when faced with the Covid crisis.”

McMahon hired Luck in 2018 to launch the new XFL, after the league lasted just one season in 2001. By many accounts, Luck succeeded in helping put a competitive product on the field in early 2020, with certain markets, such as St. Louis and Seattle, outdrawing other area pro teams.

But the league shut down amid the COVID-19 outbreak and filed for bankruptcy shortly thereafter. Luck sued McMahon days later for the remaining money on his contract, sparking an acrimonious back and forth over whether Luck had violated his contract.

Some of what Hurwitz points to is regurgitated from McMahon’s replies: allegations that Luck abandoned his post in the last month of the league; that he improperly used Alpha phones for personal use; and that he signed a player, Antonio Callaway, with a checkered past without McMahon’s permission.

But Hurwitz also makes new allegations, including that Luck made amateur errors in announcing the XFL’s city intentions before signing lease deals.

“Luck took a leading role in overseeing venue agreements the XFL entered into with respect to the stadiums in which its teams would play,” Hurwitz wrote. “His involvement was extremely detrimental to the process. Luck announced publicly the venues in which the league would play in advance of contracts being signed. As a consequence, much leverage was lost in negotiating the underlying stadium deals. Luck approved terms sheets with disadvantageous terms, including above market rent, agreed to a deal in which there was virtually uncapped risk to the league in the event of a default, and agreed to a deal in which the league would not share in any of the food and beverage revenue from game day sales.”

Hurwitz alleges the XFL hired Jeffrey Pollack in 2019 as president because of Luck’s shortcomings.

Luck did not respond to a request for comment. His lawyer, Paul Dobrowski, blasted Hurwitz’s suit, saying it violates the jurisdiction of the federal district court presiding over Luck’s case against McMahon. On Feb. 11, U.S. District judge Victor Bolden of Connecticut ruled on a slew of pretrial motions, some in favor of Luck, others against him. The jury trial is scheduled for July 11.

“The Plan Administrator’s claims on behalf of Alpha are wholly without merit,” Dobrowski wrote in an email. “… The allegation that Mr. Luck was overpaid and didn’t do his job is utter nonsense. In real time, Mr. McMahon clearly valued Mr. Luck’s job performance because he allowed Mr. Luck to be paid millions of dollars over 20 months.”

The now parallel compensation cases have no ties to the reincarnated XFL planning to launch next year. That league was bought out of the bankruptcy case for $15 million by the current owners, who have no legal obligation to former employees.

There is little if anything left in the Alpha estate, which agreed to pay former players pennies on their contracts and nothing to former coaches. So seeking Luck’s money is one of the few ways left for the estate to pay off creditors.

A former NFL quarterback himself, Luck has had a long career in sports administration. Before the XFL, he worked for the NCAA’s regulatory body, and has had stints running an MLS team, West Virginia University athletics and NFL Europe, among other posts. His name recently surfaced as a candidate for Big 12 commissioner.

(Photo of Oliver Luck: Ric Tapia / XFL via Getty Images)

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