Lawyers confirm Shaquille O’Neal was finally served in FTX lawsuit
NBA legend Shaquille O’Neal has been served in a class-action lawsuit against FTX celebrity endorsers, marking the end of a three-month-long hunt for the former basketball superstar.
Legal drama for FTX celebrity endorsers
NBA Hall of Famer Shaquille O’Neal has been served by lawyers in a class-action lawsuit against FTX celebrity endorsers. Adam M. Moskowitz, the attorney leading the lawsuit, stated that O’Neal was personally served outside his Atlanta home.
The former basketball superstar is the last remaining defendant to be served in the case, joining other celebrities like Tom Brady, Larry David, Gisele Bündchen, Stephen Curry, and Kevin O’Leary.
The process of serving O’Neal took three months as attorneys struggled to track him down at his various residences in Texas and Georgia. The lawsuit alleges that O’Neal or someone on his behalf sent a threatening text message to a process server following an attempt to serve him in Texas. The message claimed O’Neal resided in the Bahamas, which the law firm later found to be false.
FTX’s controversial marketing and bankruptcy
FTX employed numerous marketing strategies, including Super Bowl ads, celebrity endorsements, and naming rights to the Miami Heat’s arena. Some promotions reportedly promised investors higher returns than typical deposit accounts.
The lawsuit was filed by a retail investor on behalf of other FTX users who were influenced to use the platform by celebrities, including O’Neal’s “FTX: I Am All In” commercial. FTX filed for bankruptcy last November after an $8-billion wave of withdrawals, leading to allegations of severe mismanagement and fraud.
After Judge Michael Moore denied a request to serve O’Neal via Twitter, lawyers had until Monday to hand over official legal documents to the former NBA player. Moskowitz expressed relief at finally ending the “silly sideshow.” O’Neal stated in a CNBC interview that he was merely a paid spokesperson for a commercial, distancing himself from any direct involvement in the case.
Shockwaves from FTX’s bankruptcy persist
The collapse of FTX continues to have ripple effects throughout the crypto industry. After filing for bankruptcy under Chapter 11, numerous lawsuits are emerging, targeting celebrities and companies that promoted the now-defunct platform. Shaquille O’Neal’s recent service in the class-action lawsuit is just another chapter in the ongoing legal drama.
One such lawsuit has been filed against the Golden State Warriors by Elliott Lam, a Canadian citizen and Hong Kong resident, on behalf of FTX users based outside the United States. Lam alleged that the Warriors fraudulently promoted FTX, leading to further damages for its users. The Warriors had announced a groundbreaking cryptocurrency partnership with FTX’s American affiliate in December 2021, which aimed to drive innovation and adoption of cryptocurrency and NFTs in fan engagement.
As the legal battles continue to unfold, it seems that Shaquille O’Neal and other high-profile endorsers are finding out that when it comes to the turbulent world of cryptocurrency, sometimes even a slam dunk can turn into a costly turnover.