Finance With Rohan

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Tag: bankruptcy

  • Chiefs Star Rashee Rice Files for Bankruptcy With $3.45 Million in Debt

    Chiefs Star Rashee Rice Files for Bankruptcy With $3.45 Million in Debt

    Kansas City Chiefs wide receiver Rashee Rice filed for bankruptcy on Wednesday, November 4, 2026. Bankruptcy is a court process that helps a person who cannot pay what they owe. Rice listed more than $3.45 million in debts, but only $677,054 in assets. Assets are the things a person owns that are worth money. The news surprised many football fans, because Rice is a star player on a big team.

    What Happened

    Rice filed for Chapter 7 bankruptcy, which is a type of bankruptcy where a person’s things can be sold to help pay the people they owe. The court papers list 20 creditors, which are the people and groups he owes money to. His largest debt is a claim of more than $979,000 from Kathryn Kuykendall. The papers say Rice agreed to a $1 million settlement with her, but he did not pay it. More than $3.27 million of his debts are unsecured debts, which means no house or car is tied to them. They come from court cases, business debt, and consumer debt.

    The things Rice owns include a 2023 Mercedes-Benz car worth $53,800 and his Super Bowl 58 ring worth $160,000. A Super Bowl ring is a special ring that players get when their team wins the Super Bowl, the biggest game in football. Rice is 26 years old, and he is in the final year of a four-year contract worth $6.5 million. His base salary this year is $1.635 million, plus a bonus of about $431,000.

    Why People Are Talking About It

    Fans are talking about this story because Rice earns a lot of money but still owes even more. The debts are tied to a car crash in Dallas in March 2024, when Rice was driving 119 miles per hour in a Lamborghini Urus. The crash involved six cars. In July of that year, he pleaded guilty to two felony charges linked to the crash. He also spent 30 days in jail in May 2026 after he broke the rules of his probation. Probation is a time when a person must follow strict rules instead of going to jail.

    Many people are asking how a player with a $6.5 million contract can run out of money. The answer is that big debts can grow fast, and court cases can cost a lot. This story is a strong lesson about money, even for people who earn a lot. We have written about bankruptcy before, when an Outback Steakhouse franchisee filed for bankruptcy and closed 10 restaurants.

    What Happens Next

    The bankruptcy court will now look at Rice’s money and his things. The court will decide how his assets are used to pay his creditors. Rice will still play football for the Chiefs while the case goes on. The case may take many months to finish.

    Final Thoughts

    This story shows that earning a lot of money is not the same as keeping a lot of money. Bills, debts, and court cases can add up fast. Even a star player can end up in court asking for help with his debts. It is a good reminder that managing money well matters at every level of income.

    Disclaimer: This article is for educational and informational purposes only and does not constitute financial advice.

    Sources: USA Today and ESPN. Photo: American footballers in a game, via Pexels.

  • Outback Steakhouse Franchisee Closes 10 Restaurants After Filing for Bankruptcy

    Outback Steakhouse Franchisee Closes 10 Restaurants After Filing for Bankruptcy

    Introduction

    Ten Outback Steakhouse restaurants have closed in four states. The company that ran them has filed for bankruptcy. But Outback Steakhouse itself is not closing. The rest of its restaurants are still open.

    What Happened

    The company is called Out West Restaurant Group. Its legal name is Cerca Trova Restaurant Group Holdings. It is one of the biggest Outback franchisees in the country. A franchisee is a local company that runs stores for a big brand. Out West runs 61 Outback restaurants. They are in Arizona, California, Colorado, Nevada and New Mexico. The company filed for bankruptcy on Monday, November 2. Bankruptcy is when a company tells a court it cannot pay its bills. The court helps it make a plan. Between October 11 and October 25, the company closed 10 restaurants. Two were in Arizona, in Tucson and Mesa. Three were in California, in Buena Park, Valencia and Foothill Ranch. Four were in Colorado, in Colorado Springs, Highlands Ranch, Aurora and Littleton. One was in Reno, Nevada. Three more restaurants closed earlier this year. That makes 13 closures this year for this company. The company has about 3,669 workers.

    Why People Are Talking About It

    Many people know Outback Steakhouse. It is famous for steak and for the Bloomin’ Onion. News of closures always worries fans of a restaurant. Some people feared the whole chain was closing. That is not true. Outback’s parent company is Bloomin’ Brands. On November 1, Bloomin’ Brands agreed to buy nearly all of Out West’s business for $26.3 million. The other restaurants will keep running while the court case goes on. The closures are about one franchisee, not the whole brand.

    What Happens Next

    The court will look at the bankruptcy case. Bloomin’ Brands wants to buy the business and keep the good restaurants open. The closed restaurants are not likely to reopen. Workers at the closed stores have lost their jobs. Workers at the open stores keep working for now.

    Final Thoughts

    This is a story about one company, not the whole chain. Outback has about 650 restaurants in the United States. Ten closures is sad for the workers and the towns. But the brand itself is still open for dinner tonight.

    Disclaimer: This article is for educational and informational purposes only and does not constitute financial advice.

    Sources: Fast Company and Coinpaper

  • LIV Golf May Shut Down After Its $300 Million Rescue Deal Fell Apart

    LIV Golf May Shut Down After Its $300 Million Rescue Deal Fell Apart

    Introduction

    LIV Golf was meant to change golf forever. It had big stars and big money from Saudi Arabia. Now it may shut down for good. A $300 million rescue deal has fallen apart. A court in the United States may decide the league’s future this week.

    What Happened

    BC Partners is a big investment firm. It had a plan to save LIV Golf. It would put up to $300 million into a new version of the league. The new league would be called LIV 2.0. On Wednesday, BC Partners walked away from the deal. That news came from the Associated Press.

    LIV Golf is now in bankruptcy court. Bankruptcy is a legal process for a business that cannot pay its bills. LIV filed for Chapter 11 bankruptcy in September. Chapter 11 is a type of bankruptcy that lets a business try to fix its debts. If it cannot fix them, the court can shut it down. That is called liquidation.

    A court hearing is set for Thursday in Delaware. The judge may decide to shut LIV down. Or the judge may give it more time. If no new money comes in, LIV could run out of cash as soon as Friday.

    Key figures

    • $300 million: the rescue deal that fell apart.
    • More than $5 billion: the money Saudi Arabia’s Public Investment Fund has put into LIV.
    • More than $1 billion: the debts LIV listed in its bankruptcy filing.
    • Less than $50 million: the assets LIV listed in its filing.
    • 4: the players who signed up for the new league.

    Why It Happened

    LIV Golf has lost a lot of money. It lost more than $300 million in its first three years. It lost more than $350 million in 2025 alone. The league spent huge sums to sign star players. But it did not earn enough money back from TV deals and ticket sales.

    Saudi Arabia’s Public Investment Fund started LIV in 2022. The fund has put in more than $5 billion. But the fund said it would stop paying for LIV after the 2026 season. That left LIV looking for new money. BC Partners was the last hope. Now that hope is gone.

    Only four players signed up for the new league. They were Richard Bland, Cameron Tringale, and Brendan Steele, plus one more player whose name was not made public. Big stars like Jon Rahm and Sergio Garcia have left LIV. Many other players saw their contracts end.

    Why It Matters

    LIV Golf split the world of golf in two. Some of the best players left the PGA Tour to join LIV. The PGA Tour is the main golf tour in the United States. The split hurt both sides. Fans had to choose which golf to watch. Sponsors were unsure where to put their money.

    Talks about a deal between LIV and the PGA Tour have ended. LIV walked away from the talks. That means the split in golf may stay for now.

    The new league would have been very different. It would have had both men and women playing. Teams would have been cut. And at least some players would have been paid less. But that plan is now in doubt.

    What Happens Next

    All eyes are on the court hearing on Thursday. The judge could order LIV to shut down. Or the judge could let it keep running while it looks for new money. Finding new money will not be easy. LIV owes more than $1 billion. Its assets are worth less than $50 million. That is a very big gap.

    LIV also owes up to $25 million in severance pay to its workers. Severance pay is money a company pays workers when their jobs end. The workers’ future depends on what the court decides too.

    Final Thoughts

    LIV Golf shows a simple lesson. Big money alone cannot make a business work. A business needs fans, sponsors, and a plan to earn money. LIV had the money. It did not have the rest. Now a judge may decide if the league gets one more chance, or if it is time to close the book on LIV Golf.

    Disclaimer: This article is for educational and informational purposes only and does not constitute financial advice.

    Sources: CNBC and ESPN.