Call Today For a Free Consultation 888.363.7901
Ready to Start Your Path to Financial Freedom?

Warren Sapp Files for Bankruptcy...How Did He Qualify for Bankruptcy?

Former NFL superstar and future Hall of Famer Warren Sapp filed for Chapter 7 Bankruptcy. In his bankruptcy filing, Sapp is estimated to owe his creditors $6.7 million. Sapp's assets are estimated to be around $6.45 million. Some of Sapp's more interesting assests include his 240 pairs of Jordan sneakers worth $6,500.00 and a lion skin rug worth $1,200.00

According to his filing, Sapp’s average monthly income is $115,881.00. Many people are questioning how Sapp was eligible for Chapter 7 bankruptcy relief. Usually, people are disqualified from Chapter 7 relief if they simply make too much money. Having too large of an income will cause someone to fail the "Means Test" and not be able to file for Chapter 7 Bankruptcy. Obviously, having a monthly income of $115,881.00 is a lot of money!

However, there are excpetions to having to take the "Means Test" and qualifying for Chapter 7 Bankruptcy. One exception is if your debts are primarily non-consumer debts. Other exceptions are for disabled veterans, military reservists, and members of the Nation Guard.

In Sapp's case, I iwoudl guess that he qualified for Chapter 7 relief because his debts were primarily non-consumer debts. Non-consumer debts mostly refer to business debts – those debts incurred for business or with profit motives in mind.