Colorado football coach Deion Sanders addressed the bankruptcy case of his son Shilo Friday and said a recent financial issue involving Shilo’s car was because of a “disruption in payments” after the termination of his ‘online account access.’
Mercedes-Benz Financial Services on Tuesday filed a motion in court that said Shilo, an NFL draft prospect, defaulted on his car payments for a Mercedes car that he agreed to purchase in May 2023 on a monthly payment plan. The company said he was past due for $6,877 in payments and hadn’t paid his monthly installments from December through February.
As a result, the company asked the bankruptcy court’s permission to repossess the car amid Shilo’s bankruptcy proceedings.
Deion Sanders brought up the issue at a news conference Friday during Colorado’s pro day workouts in Boulder.
“I know some other bulljunk came out, but he fulfilled all his financial obligations,” Deion Sanders said. “These issues appear to have risen due to disruptions in the payment process −this is from his attorney − ‘following the termination of Mr. Sanders’ online account access.’ So he’s good.”
Why was this an issue?
Mercedes-Benz Financial Services considered this “disruption in payments” to be a default on payments, meaning he stopped paying what he owed. As a result, the company moved to take the car back because Shilo, a safety for Colorado, still owes $97,239 on a $135,000 car from 2023 that now has a trade-in value of $97,000, according to its court filing in federal bankruptcy court.
Shilo’s bankruptcy filing in October 2023 triggered an automatic stay or hold on debt collection efforts against him. But Mercedes-Benz Financial Services argued it should be entitled to relief from this stay under these circumstances.
“The motor vehicle is depreciating in value, the contract is in default and the movant (Mercedes-Benz Financial Services) is being prevented by the automatic stay from exercising its remedies to repossess and liquidate its collateral, the motor vehicle,” said the court filing from Mercedes-Benz Financial Services and its attorney Doug Koktavy.
Shilo filed for Chapter 7 bankruptcy after falling into more than $11 million debt – almost all of it owed to one man, John Darjean, a security guard from his former school in Dallas. It’s not clear yet if making any back payments will change the position of Mercedes-Benz Financial Services. The company’s attorney didn’t immediately return a message.
Why does Shilo Sanders owe this money?
It stems from an incident in 2015, when Shilo was 15 and Darjean tried to confiscate his phone at school. Darjean accused Shilo of elbowing and punching him, causing severe and permanent injuries.
Shilo has said it was self-defense. But Darjean sued Shilo for damages. And when the case finally went to trial in Dallas in 2022, Shilo didn’t show up for it. The judge then issued an $11.89 million default judgment against Shilo after hearing evidence at the trial.
After Darjean tried to collect on that judgment owed to him, Shilo filed for bankruptcy to stop the debt-collection efforts and try to have the debt discharged so he could get a “fresh start.”
Darjean is fighting this in court because he wants to collect every penny he’s owed. If Darjean succeeds, the debt could follow Shilo into his NFL career. If Shilo succeeds in court, the debt will go away with relatively little harm done to him financially.
‘Different standard’ for Sanders family
Shilo, now 25, was Colorado’s leading tackler in 2023 and third-leading tackler in 2024 despite missing three games with a broken forearm. On Friday, he worked out in front of NFL scouts and ran the 40-yard dash in 4.52 seconds, a good time for a safety prospect.
“I love who he is on and off the field,” Deion Sanders said of Shilo. “He’s a great young man.”
His father on Friday also generally addressed how his family is held to “a different standard.” His youngest son, Shedeur, is a top quarterback prospect for the NFL draft in April.
“I’m held to a different standard, but I don’t care,” Deion Sanders said. “We are here to change the game, so you’re gonna be held to a different standard. I like that. All the kids that play for CU are held to a different standard when we walk into a city. And the way you (the news media) report on us, you’re held to a different standard. So we cool with that. Ain’t nothing changed about that.”
Follow reporter Brent Schrotenboer @Schrotenboer. Email: bschrotenb@usatoday.com
