JUST HARD

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Debts and bankruptcy: In October 2013, while in prison, McTiernan declared chapter 11 bankruptcy amidst foreclosure proceedings for his 3,254-acre (1,317 hectare) ranch residence in central Wyoming (valued at $8–10M), struggles to pay his past legal bills and IRS tax debts, and ongoing expensive disputes including the lawsuit by his ex-wife, a $5M claim against him of liability in a 2011 automobile accident, and his ongoing effort to reverse his felony conviction.[5]

The bank holding the mortgage on the ranch said the filing was a bad-faith tactic only intended to stall the foreclosure proceedings, and requested the presiding judge to convert the case to a chapter 7 bankruptcy – a more drastic form of bankruptcy that would give the bank the power to demand the liquidation of assets rather than requiring them to negotiate with McTiernan.[5][77]

McTiernan's lawyers countered by saying that his potential for generating additional future income from new projects could enable him to eventually repay his debts, so a rapid liquidation of assets would be unnecessary and unjustified.[5][77] In the bankruptcy proceedings, he identified two likely future film projects with Hannibal Pictures, with working titles Red Squad and Warbirds, with large budgets and significant likely future income and planned to star major well-known actors.[77] On December 8, 2015, a judge ruled against McTiernan – agreeing with his debtors that his assets should be liquidated. It was reported that his ranch was likely to be sold and that an administrator would take over the management of his future film royalty payments.[78]