NFL quarterback Trevor Lawrence and YouTube influencers Kevin Paffrath and Tom Nash have reportedly reached a settlement in a lawsuit involving their promotions for the now-defunct cryptocurrency exchange FTX. The lawsuit alleged inadequate compensation disclosure in their endorsements. However, the terms of the settlement have not been disclosed (Bloomberg).
Lawrence, Paffrath, and Nash are among several high-profile celebrities and influencers who were part of a class-action lawsuit. They are the first to have reached a settlement, while others including Tom Brady, Gisele Bündchen, Kevin O’Leary, Shaquille O’Neal, Naomi Osaka, and David Ortiz are still involved in the legal proceedings. The lawsuit also includes eight YouTubers who were accused of failing to disclose compensation, including Graham Stephan, Andrei Jikh, Jaspreet Singh, Brian Jung, Jeremy Lefebvre, and Erika Kullberg (Bloomberg).
The talent management company Creators Agency LLC, which was responsible for promoting FTX, is also named in the lawsuit. FTX, which filed for insolvency in November 2022, is now considering ways to reclaim the millions of dollars it paid to celebrity athletes and sports teams for promoting the crypto exchange (Cointelegraph).
According to court filings, Lawrence received $205,555, Shaquille O’Neal received around $750,000, and Kevin O’Leary received the highest fee of $2,348,338 for their endorsements of FTX. The class-action lawsuit, which was initially filed on March 15, alleged that the influencers failed to disclose that their FTX promotions were paid content rather than genuine interest (Cointelegraph).
In summary, NFL quarterback Trevor Lawrence and YouTube influencers Kevin Paffrath and Tom Nash have reportedly settled a lawsuit over inadequate compensation disclosure in their promotions for FTX. The terms of the settlement have not been disclosed, and they are the first among a group of high-profile celebrities and influencers to reach a resolution. FTX is also considering ways to reclaim the funds paid to celebrity athletes and sports teams for promoting the crypto exchange before its insolvency. The class-action lawsuit alleged that the influencers did not properly disclose their sponsorship and endorsement deals with FTX (Bloomberg, Cointelegraph).
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About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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