Jacksonville Jaguars quarterback Trevor Lawrence has reached a settlement in a class action lawsuit filed against him and other celebrities and athletes last year. The lawsuit accused Lawrence and others of endorsing FTX, a cryptocurrency exchange that later collapsed and went bankrupt in 2022. Lawrence, along with Tom Brady, Stephen Curry, Shaquille O’Neal, and Shohei Ohtani, were sued for allegedly misleading the public about FTX.
The founder of FTX, Sam Bankman-Fried, is currently facing several fraud-related charges and the possibility of up to 100 years in prison. The lawsuit against Lawrence and the other celebrities is part of the fallout from the collapse of FTX.
Before joining the Jaguars as the No. 1 pick in the 2021 NFL draft, Lawrence signed a multiyear sponsorship deal with FTX (then known as Blockfolio). It was believed by many that Lawrence had accepted his entire $24.1 million signing bonus from the Jaguars in cryptocurrency, but Lawrence denied this claim.
According to Bloomberg, Lawrence, along with YouTube influencers Kevin Paffrath and Tom Nash, are the first three listed in the lawsuit to reach a settlement. The terms of the agreement have not been disclosed.
Lawyers leading the case have stated that they are engaged in ongoing confidential settlement discussions with other defendants. It is expected that more settlements regarding FTX will be reached.
This settlement brings some resolution to the legal issues surrounding Lawrence’s endorsement of FTX. It remains to be seen how this will affect Lawrence’s reputation and future endorsements. However, it does highlight the need for celebrities and athletes to carefully consider the companies they endorse and thoroughly vet their business practices.