The Atlanta Falcons plan to recuperate more than $16 million in bonus money from their troubled quarterback Michael Vick. His recent plea to federal dog fighting charges puts Vick in violation of the 10-year, $130 million deal signed in December 2004, after being the first overall player drafted in 2001.

According to sources familiar with the case, Falcons president and GM Rich McKay accompanied by four team officials left for Philadelphia to attend the arbitration hearing scheduled for Thursday.

The hearing will be held at the University of Pennsylvania Law School in front of special master Stephen Burbank. It will probably last no more than a day and in addition to the Falcons officials, counsel from the National Football League is expected to be present.

Michael Vick will be defended by two lawyers from the NFL Players Association.
A judgment could be reached by the end of the week. Both sides have the right to appeal to U.S. District Judge David S. Doty, according to the NFLPA.

The Falcons are pursuing money from Vick’s bonuses arguing that it will help them gain relief under the salary cap. Any money the Falcons recover will be applied to the salary cap a year after it is received.

But the NFL Players Association will argue in the hearing that Vick has already earned the bonus money, which was in the form of roster bonuses. Under the current collective bargaining agreement a team cannot retrieve money already earned. The new collective bargaining agreement says "salary escalators already earned" cannot be subject to being recovered by the team.

These financial troubles aren’t Vick’s first since his suspension from the NFL and the dog fighting scandal. He lost several endorsements, including a major one with Nike.

And the “bad newz” kept on coming Vick’s way as the Royal Bank of Canada filed suit against him for about US$2.3 million arguing that his guilty plea and the consequential impact on his career have prevented him from repaying a loan.

Vick allegedly borrowed $2.5 million in January for real estate investments. The terms of the loan indicate that any employment change that might reduce Vick's income constitutes a default on the loan, according to the lawsuit.

The Royal Bank of Canada is demanding $2,313,694.37, plus $499 in interest per day, starting Sept. 19.