As it Comes to the XFL, McMahon is being Phased Out

  • Alpha Acquico
  • Alpha Entertainment
  • Alpha Opco
  • XFL
By Josh Davis September 16, 2020 0 Comment
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According to newly filed court documents, the XFL and McMahon connection will be phased out. On 9/10/2020, a motion to approve the  Transition Services Agreement stage of the bankruptcy process was filed and ordered.

WHAT DOES THIS ALL MEAN?

The buyer, Alpha Acquico, LLC will now take over everything they bought in auction from Alpha Entertainment, LLC. Through a subsidiary called Alpha Opco, the agreement to begin the process of ending the relationship between McMahon and the league. The first step is the official hiring of any current XFL and McMahon/Alpha employees. Which mainly includes Jeffery Pollack. These official hirings begin Monday 9/14.

Other interesting parts of the filing is that Alpha Entertainment has no control of any of the resources they previously had. This includes firms and employees they need to wrap up the bankruptcy. In the agreement, the new ownership can allow McMahon use of these resources, for a fee. The court has ordered the seller to pay the buyer a $50,000 retainer for the services. If anything goes over the retainer, McMahon has to pay that back as well.

This is a normal part of a bankruptcy. The transition is to phase out the seller, while giving complete control of the estate to the buyer, but not limiting resources that the seller needs to complete the bankruptcy process.

MORE NEWS

The court order the buyer to assume the contract for United Healthcare. Which means there is now an active insurance policy for the league. Still uncertain if this is for staff, or players and coaches, you cannot operate a business without insurance. Although from the people and coaches within the league that I have spoken to, their plans were with United. Looks like MetLife handled the employee benefits.

These may look like small pieces of news, but this is how you begin a big business like this. By limiting the seller’s activities and access, and coming to an agreement with the insurance company; you can now start the operational side of the business.

This is big, With the already assumed contracts and leases from the broadcasting companies, and half of the stadiums looking to be locked up, 2021 seems like it’s in the bag.

Follow me @TheBrawl_Josh for more news on the XFL

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