Michigan to pay AD Warde Manuel more than $7 million in split after resignation following Sherrone Moore scandal

Michigan is paying former athletic director Warde Manuel a lump sum of $7.14 million as part of his separation agreement after he agreed to step down earlier this month, according to The Associated Press.

Manuel is going to step down from his post as Michigan's athletic director at the end of 2026, the two sides announced on July 20 in the wake of an investigation into the scandal surrounding former football coach Sherrone Moore. 

In addition to the more than $7 million that Manuel will receive in the split, he will also receive standard former athletic director perks from the university — which includes, among other things, tickets to Michigan games and golf privileges. He will also receive a more than $100,000 contribution to his retirement account and attorney fees.

Manuel, who played football at Michigan himself, was hired as the school's athletic director in 2016. He oversaw multiple national championships during his time running the athletic department, including football in 2023 and men's basketball earlier this year. He had signed a five-year extension that ran through 2030, and his contract required 36 months of severance pay in the result of a buyout. 

While there was plenty of success, there were several notable scandals within the athletic department, too. Former football coach Jim Harbaugh was caught up in recruiting infractions and the large-scale sign-stealing scandal. 

Then there was Moore, who was arrested by police and then fired by Michigan in December after an alleged inappropriate relationship with a staff member. Moore was eventually charged with felony home invasion, among other things, and he reached a plea deal earlier this year to avoid jail time. Michigan has since replaced Moore with Kyle Whittingham to lead the football program.

As part of his departure, Manuel's personnel record will reflect a resignation and he is allowed to accept employment outside of the Big Ten conference without any penalty. Manuel, per the report, agreed not to be an athletic director or senior athletic adviser for any Big Ten school for two years.