According to the Associated Press, U.S. Senate candidate Linda McMahon and her husband Vince, the owners of World Wrestling Entertainment (WWE), filed for bankruptcy in 1976.
The AP reports that the McMahons “owed 26 creditors a total of just under $1 million when they filed for personal bankruptcy protection.” Linda, a Republican, is currently running a Senate campaign against Democratic Representative Chris Murphy in Connecticut.
Bankruptcy documents released by the National Archives and Records Administration in Massachusetts show that the McMahons owed $955,805 in debt at the time of their filing, which included $364,492 owed to the former Mattatuck Bank & Trust Co. of Waterbury; $109,575 to Harold J. Hemingway, who the McMahon campaign said was an official with the former North American Bank & Trust Co.; and $100,064 to the Internal Revenue Service.
The AP reports that a bankruptcy court discharged the debts in February 1977. ‘‘It’s wrong that McMahon made hundreds of millions of dollars at the WWE but still has not paid back the people she owes from her foreclosure and bankruptcy,’’ said Ben Marter, a spokesman for Murphy to the AP. Reports indicate that Linda has a net worth of between $156 and $400 million dollars due to the success of the WWE.
Politics aside, the McMahon story shows how bankruptcy protection can help out individuals struggling financially. Chapter 7 and Chapter 13 bankruptcies allow you to discharge unsecured debt, like credit card debt or medical bills. In the McMahons case, it helped them retain their business.
Corry Bliss, McMahon’s campaign manager, told the AP that over half of the creditors were repaid through the bankruptcy. “That’s why bankruptcy is so serious. Bankruptcy provides people with the opportunity to start over,’’ Bliss told the AP.
Much like the McMahons, if you’re struggling financially our Washington DC and Maryland bankruptcy attorney can help you with a free consultation if you fill out the contact form on this website or call (202) 483-6070 to schedule an appointment. We can offer you the best solution for whatever your debt issues may be.
Law Firm of Kevin D. Judd– Maryland and Washington DC bankruptcy lawyer