New MISL Setback: Sidekicks File for Chapter 11 : Dallas’ Decision Should Keep the Team in Action for the Rest of This Season

The Major Indoor Soccer League, bloodied this past summer by a variety of economic problems, received another black eye Monday when the Dallas Sidekicks announced they were filing for protection under Chapter 11 of federal bankruptcy laws in order to complete the 1988-89 season.

Monday’s action is not expected to have any immediate effect on the future of the 10-year-old league or the Sockers, who themselves filed for bankruptcy this past spring.

Stan Finney, the Sidekicks’ chairman of the board, said the decision was necessary because the Sidekicks defaulted on a $560,000 promissory note due to Donald Carter and Dallas Basketball, Ltd., by July 17, 1988.

Attorneys for Carter--who owned the Sidekicks from 1984 to 1986 and who also owns the Dallas Mavericks of the National Basketball Assn.--indicated Monday afternoon they had planned to take legal action that would have prohibited the Sidekicks from playing any more games this season.

“The bad news is that the Dallas Sidekicks filed for bankruptcy,” Sockers’ President Ron Cady said. “The good news, is that by doing this, they have kept the franchise alive until the end of the season and they are looking for ways to continue next season.”

Finney indicated that Sidekicks I, Ltd., which owns the team, would have 120 days to file a reorganization plan, which includes the following:

--Raising $500,000 in additional capital.

--Averaging 10,000 fans for its 10 remaining home dates, which included Monday night’s exhibition game against Moscow Locomotiv and the Feb. 22 MISL All-Star Game. (Dallas is averaging 9,506 fans through 16 home games so far this season.)

--Receiving commitments from individual season ticket holders and local corporations for 5,000 season tickets for the 1989-90 season.

As part of the reorganization plan, Sidekick Coach Gordon Jago will assume the duty of president and chief operating officer. Former President David Shutee has been appointed special counsel to the franchise.

“The Sidekicks have built a great tradition in Dallas,” Finney said. “This is a team that never gives up . . . so we will find a way to work through this problem as well.”

Bill Kentling, MISL commissioner, said owners will begin discussing the Sidekicks’ situation next Monday during the All-Star break meetings in Dallas.

“I don’t think this situation will affect the league or its future at all,” Kentling said. “What the Dallas people did (Monday) was to take the most viable alternative for the situation they were in. If it weren’t for the money they owe, people would see a thriving franchise in Dallas.”