Baker Throws a Different Kind of Hail Mary: Explaining the Lawsuit Brought By Former Cleveland Brown Baker Mayfield Against Family Members.

With the NFL season in the throes of the playoff hunt, former Cleveland Browns quarterback Baker Mayfield has been in the news recently for reasons other than his performance on the field. 

What Happened? 

According to a complaint filed in the U.S District Court for the Western District of Texas, from 2018 through 2021, companies owned by Baker’s father and brother transferred over $12 million of Baker’s money to various companies without his knowledge and without receiving anything in return. The money was allegedly used to cover operating expenses and to make acquisitions. According to the Complaint, when Baker and his wife discovered the missing money, they confronted Baker’s family and received the run-around. But eventually, the scope of the purported scheme was unearthed, and the companies owned by Baker’s father and brother entered into a settlement agreement to repay the misappropriated money over time with interest. However, according to the complaint, none of the money has been repaid, and Baker was forced to file a lawsuit for breach of the settlement agreement. 

What Claims Exist When A Trusted Person Misuses or Steals Money? 

Ultimately, Baker appears to have reached an out-of-court settlement related to the funds that were taken without his knowledge.  This explains why his lawsuit is focused on breach of the settlement agreement.  However, had Baker not reached a private settlement over the stolen money, he likely would have had claims that are commonly seen both in commercial and business litigation and also in family disputes when family members oversee trusts and estates.  These claims would include: 

• Breach of Contract: If there were any business agreements, trusts, verbal or written contracts, between Baker Mayfield and his father or brother—such as management agreements, financial arrangements, or promises related to his career—he could claim a breach of contract if they failed to meet their obligations. 

• Fraud: If Mayfield’s father or brother misrepresented facts or concealed facts, Baker discovered the missing money, Baker might bring a claim for civil fraud. 

• Conversion: If there were allegations that his father or brother wrongfully took or used his property or money, he might file a claim for civil conversion, which is the unlawful possession or use of someone else's property. 

• Emotional Distress: If the actions of his father or brother caused Baker Mayfield significant emotional distress, especially if their behavior was extreme or outrageous, he might claim intentional infliction of emotional distress. 

• Breach of Fiduciary Duty: If his father or brother had a fiduciary duty toward him—such as managing finances or representing him in a professional capacity—and they failed to act accordingly, breaching duties or care or loyalty, Mayfield might claim a breach of fiduciary duty. 

• Unjust Enrichment: If his father or brother profited from something that was rightfully his, he might claim unjust enrichment. 

• Violation of Racketeer Influenced and Corrupt Organizations (RICO) or similar state statutes: Many states have civil statutes to compensate the victim of an enterprise that engages in a pattern of racketeering or illegal activity.  If Baker has evidence that people involved took his money in a coordinated pattern to support other illegal conduct, he could potentially have a claim under these statutes. 

• Civil Conspiracy: If there was an agreement between two or more parties to commit an unlawful act or a lawful act by unlawful means, Baker could have a viable claim for a civil conspiracy.   

How Could this Relate to Me?  

Unfortunately, situations like this are all too commonplace, even when NFL superstars aren’t involved. Family members, close friends, or seemingly reputable acquaintances are frequently trusted with money only to betray that trust to use the money for their own purposes. Additionally, business deals, including those with family and friends, often end with one side not holding up their end of the bargain. This commonly occurs in situations involving family trusts, close corporations, and other types of business transactions / investment vehicles.  

How can Plakas Mannos Help?  

Plakas Mannos has a wide range of experience helping clients navigate business issues on the front end, to ensure that governing documents and contracts have the necessary clarity to avoid disputes down the road, as well as on the backend when these transactions and relationships go sideways.  Plakas Mannos has handled all kinds of family and business disputes from probate litigation involving misappropriation of funds from trusts or estates, to divorce and dissolution matters, which at times involve allegations of financial misconduct. Additionally, Plakas Mannos steps in when business deals go awry, including sensitive situations where it may be a family member or close friend on the other end of the transactions.  

If you are dealing with a family dispute or a business transaction that did not go the way it should have, reach out to us today.   

Meet the Author

Brandon McHugh is an associate attorney at Plakas Mannos. His practice includes wrongful death & personal injury, business litigation, and more.