That’s not the way to start the season.
Centennial Bank sued Evander Kane and the San Jose Sharks on Thursday in Florida federal court, claiming Kane owes them more than $8.3 million in principal and interest.
According to Centennial, Kane received an initial $3.9 million loan from the Arkansas-based bank for business and investment opportunities in September 2018. The loan was secured by his Sharks contract, a seven-year, $49 million dollar pact inked that May.
Additional loans were secured against Kane’s contract over time.
Per the complaint, the San Jose Sharks were contractually obligated to pay the bank back directly from Kane’s wages. However, Centennial says they stopped receiving direct deposits from the team in October 2019. In addition, Kane allegedly defaulted on the loan by missing a December 2019 payment and has made no payments since.
“Centennial believes and therefore avers that the borrower has directed the team to discontinue any and all future direct deposits of the pledged payments into the designated account,” the complaint reads, “in violation of the security agreements.”
As of December 11, 2020, Kane owed $7.8 million in outstanding principal, about $503,000 in interest, and about $90,000 in bank fees.
Centennial is pursuing a declaratory judgment that obligates the San Jose organization to continue direct deposits until the loan is paid in full and prohibits Kane from interfering with these payments.
The San Jose Sharks have declined to comment.
Law360 has more details about this lawsuit and Kane’s prior legal troubles here.
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