Michael Vick's new six-year, $100 million contract with the Eagles was cause for celebration beyond Philadelphia.
Creditors from the quarterback's 2008 bankruptcy declaration stand to recoup at least a portion of approximately $18 million he still owes them, according to the Philadelphia Inquirer.
The biggest creditor, according to The Atlanta Journal-Constitution, is the Falcons, who were owed $7.5 million from Vick's bonus on his 10-year, $130 million contract that he signed in 2005. The parties reached a settlement on a refund in 2009.
The Falcons could seek salary-cap credits as Vick repays his bonus, ProFootballTalk.com reported Wednesday. Whether or not the team receives the relief is unclear at this time.
When contacted by NFL.com on Wednesday, NFL spokesman Greg Aiello said the league is reviewing the situation.
Vick's collection agreement mandates that he must set aside a share of his earnings to repaying his creditors, a percentage that increases from 10 percent of his first $750,000 in annual earnings up to 40 percent of earnings more than $10 million. According to NFL Network insider Jason La Canfora, Vick will collect $20 million in base salary and bonuses from his contract this season. He also will have endorsement income.
Vick filed for bankruptcy protection in July 2008, when he lost his Falcons contract after his conviction on federal dogfighting charges.
How much Vick has to pay back will be determined by his earnings. His contract guarantees $35 million, and the sixth season would be voided if Vick plays 35 percent or more of the Eagles' snaps in any season.
The Inquirer reported, according to court documents, that Vick has set aside about $2.1 million for the trust collecting money on behalf of his creditors. He initially owed about $20 million.
The bankruptcy plan restricts Vick to about $300,000 of personal-living expenses through 2015, a stipulation he could ask the court to remove in October. After setting aside money for taxes, his creditors and living expenses, Vick has put the rest of his earnings into savings he can access later.
