League shutdown leaves unpaid bills
Several San Antonio hotels, a local university and at least one school district are stuck with unpaid bills for hundreds of thousands of dollars in the wake of the Alliance of American Football’s sudden collapse.
The league and players rented rooms for training camps and games at nine local hotels, including the Omni Colonnade, the Emily Morgan, Holiday Inn Riverwalk and DoubleTree by Hilton downtown. More than half still are owed money.
“I have been informed that there are a number of hotels — at least five — that have not fully been paid by the league,” said Liza Barratachea, president and CEO of the San Antonio Hotel & Lodging Association. “It’s a significant number.”
Spokespeople for Hilton and IHG, which includes Holiday Inn brands, said they do not disclose guest information. The DoubleTree was paid, its director of sales confirmed. Omni did not respond to questions.
The league, which announced it was folding April 2, also has an outstanding balance at the Alamodome of $253,836 for preseason games and services. However, the cityowned arena will use AAF’s deposit of $300,000 to cover the costs, a spokesperson said.
Teams also practiced and worked out at local schools. North East Independent School District received a $20,000 deposit but still is owed $47,000 for the use of two stadiums.
League officials haven’t responded to invoices and inquiries, said Aubrey Chancellor, a spokeswoman for NEISD.
Asked about the financial impact, Chancellor said: “It’s a substantial amount.”
The Orlando Apollos used a stadium and field house at the University of the Incarnate Word for practice, UIW athletics director Brian Wickstrom said in an emailed statement.
“UIW is owed a portion of the fees associated with the contract and we will continue to work collaboratively for them to fully comply with the terms of the contract,” he said. “We are proud to partner with many athletic organizations in our community to help serve their needs. Out of respect for those organizations, we decline to provide monetary details.”
It’s unclear whether the groups will get their money following the league’s demise. A spokesperson for the AAF said the league’s owners are trying to resolve these issues.
Some vendors have gotten their money. Regent Coach Line in San Antonio provided transportation during preseason training and for the Commanders until a few weeks ago, and the company was paid, a manager said.
League personnel booked more than 15,000 nights at area hotels for a quarterback camp in November and league-wide training in January, Assistant City Manager Carlos Contreras told the San Antonio Express-News in February.
At the time, the league was estimated to have spent $8.8 million in the city before the season even began.
The Commanders got off to a strong start, averaging more than 27,000 attendees at their four home games. But after just eight weeks, AAF majority owner Tom Dundon announced the league was suspending operations. The remaining games were canceled and player contracts terminated.
Though hoteliers “weren’t relying on a huge bump” from league bookings, it’s still a loss, Barratachea said.
According to news reports and social media posts, some players were booted from their hotel rooms and had to pay for their travel home after the league folded. A former player for the Memphis Express said on Twitter that he’s facing hotel bills of more than $2,500.
“I woke up to over a $2,500 charge pending on my account from the Sonesta hotel our team stayed in,” Adrien Robinson tweeted April 4. “I called the bank and Memphis team president. My only option is to dispute the charges on Monday. The same thing happened to other players on our team.”
Companies stuck with unpaid bills could file a lawsuit, San Antonio bankruptcy attorney Ray Battaglia said. Or creditors could band together and force an involuntary bankruptcy petition.
“Somebody booked the block of rooms. Somebody signed a contract and said, ‘I’ll pay,’” he said. “Whomever that is, of course, is legally liable and can be sued.”