American Football Star Agrees To Settlement Terms In An FTX Lawsuit
In a recent report, Trevor Lawrence has agreed to conform to the settlement terms brought up by the prosecutors in charge of the FTX bankruptcy case which charged the footballer alongside other celebrities for their role in the failure of the FTX exchange in 2021.
According to the report, the prosecutors in charge of the FTX Chapter One bankruptcy case had launched a legal attack on all celebrities once paid for product promotion by the former FTX administration before the firm collapsed. The prosecutors charged the individuals involved to return the promotion payments which have a cumulative worth of $18 million so that the firm can plan a refund scheme for creditors and other victims of the collapse which occurred last year.
Furthermore, the American football star Trevor Lawrence was mentioned in the class-action lawsuit last week. In addition, the celebrity has joined another two defendants who had admitted the lawsuit and agreed to settle with the prosecutors. Lawrence reportedly signed a promotional deal with Blockfolio, a cryptocurrency portfolio tracking application created by FTX. At the time, the details of the contract were not announced, however, Blockfolio claimed that the deal entitled Lawrence to a huge signing bonus to be paid in various crypto assets including Solana, Ethereum, and Bitcoin.
Reports showed that the American NFL quarterback told the court his intention to conform with FTX’s repayment terms on September 15.
Nonetheless, the conditions and terms stated in the settlement agreement between the footballer and the firm’s prosecutors were not disclosed as both parties kept it confidential.
Lawrence Set to Conform To FTX Settlement Terms
According to the report, Trevor Lawrence landed in the unprecedented lawsuit after the investigators in charge of FTX exchange’s recovery process filed a class-action court case against a set of celebrities who once ran promotion programs for FTX in 2022. Reports revealed the lawsuit faults the individuals for promoting FTX products and services, encouraging investors to invest their hard-earned money in the firm which the CEO, Sam Bankman-Fried later duped them off.
In addition, crypto law experts stated that the lawsuit is not unexpected because endorsements of crypto-related firms have gotten many popular figures in trouble in the past. This is because affected investors claimed these investors’ endorsement of the firm misled them about the firm’s legitimacy and reputation, which eventually cost them their money.
Alongside Lawrence, two other celebrities who are also mentioned in the lawsuit, Kevin Paffrath and Tom Nash, who are YouTube influencers, have also agreed to conform with the prosecutors’ settlement term. In the court case, Nash and Paffrath were reportedly paid to run YouTube ads for the firm on their channels.
The plaintiff’s attorneys argued in the court file that the two celebrities are currently engaged in confidential settlement talks with the prosecutors. In addition, they added that other celebrities involved in the case are also planning on conforming to their settlement terms.
According to the report, other public figures listed in the lawsuit include Stephen Curry, Naomi Osaka, Tom Brady, Larry David, Shaquille O’Neal, Gisele Bundchen, Kevin O’Leary, and Udonis Haslem.
Lawrence Faces Double Lawsuit From FTX
Meanwhile, another report revealed that Trevor Lawrence is simultaneously facing another lawsuit related to the FTX bankruptcy case. It was reported that the failed exchange charged the football star for his role in the firm’s failure as he was paid a heavy a of no et to run ads do the firm.
According to the report, Lawrence was paid a whopping $205,555 to promote the FTX exchange shortly before its collapse. However, the firm’s prosecutors are now after the celebrity, demanding he pays the money back as the firm is actively seeking to recover all misappropriation funds in the firm so they can repay creditors and victims of the incident.
The firm has been on the neck of other celebrities, pressuring them to repay the payment the firm made to them for their promotional service. Basket team Golden State, alongside popular firms like Fortune Media, Coachella Music Festival, and Gamestop were also included in the lawsuit.
However, the major highlight of the recovery action the firm is planning is how to recover a whooping $3,398,046 money that FTX paid the Miami Heat to rename its stadium to FTX Arena for a long-term deal. The two entities struck the deal in 2021, however, when FTX collapsed, the stadium was renamed the Kaseya Centre.
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