We all remember that famous “Jerry Maguire” line, “Show me the money!” However, did New Jersey residents know that the 1996 blockbuster was based on a real person? Leigh Steinberg, a high-profile agent whose former client list includes celebrated athletes like Troy Aikman, has recently filed for Chapter 7 bankruptcy. Steinberg opted for liquidation after the Orange County Superior Court commissioner approved a warrant. The agent had formerly missed an appearance regarding his $1.4 million debt.
According to reports, Steinberg allegedly stopped paying rent on his Newport Beach office back in 2009. He claims that financial trouble has been a product of his 2008 divorce. Furthermore, the agent notes that he lost track of his finances while he was in rehab. As a result, a source reports that he has confronted many lawsuits over several bills.
Steinberg has opted for Chapter 7 bankruptcy. In general, this liquidation process permits people to discharge or eliminate credit card liability, medical bills and other unsecured debt and obligations. Furthermore, Chapter 7 can prevent the progression of a foreclosure proceeding, stop repossession of vehicles and end wage garnishment.
Despite his severe financial challenges, sources say that Steinberg is optimistic about his financial future. While debt can be a very difficult thing to deal with, you have options. If you are in financial trouble and need assistance reducing your debt, you may want to speak to an attorney about your legal and financial obligations. Chapter 7 is just one liquidation route, and a lawyer can educate you about other debt-reducing alternatives.
Source: CBS Los Angeles, “‘Jerry Maguire’ sports agent Files for bankruptcy in OC over $1.4M debt,” Brian Ping, Jan. 12, 2012