Donald Trump Files Lawsuit Against Cofounders Of Trump Media Claiming They Aren’t Entitled To $400 Million In Stock

Former President Donald Trump filed a lawsuit against two former Apprentice contestants who became co-founders of Trump Media and Technology Group (TMTG). 

Trump alleges that Wesley Moss and Andrew Litinsky failed to properly establish the venture, which led to their disqualification from receiving promised stock valued at over $400 million.

Trump, who famously hosted the popular NBC reality show The Apprentice, met Moss and Litinsky when they were contestants on the show – and lost. 

The Apprentice, which aired from 2004 to 2017, featured contestants who would compete for a job within the Trump Organization. The show famously popularized Trump’s catchphrase, “You’re fired!” However, Trump’s political ambitions and remarks about Mexicans ultimately resulted in his departure from the show.

Moss and Litinsky, who initially met as contestants on The Apprentice in 2004, approached Trump in 2021 with the idea of creating his platform, eventually leading to the establishment of Truth Social. Trump’s lawsuit, filed in Florida in late March, claims that the opportunity presented to Moss and Litinsky was “phenomenal.”

The suit asserted that although the two men were “riding President Trump’s coattails,” all that was required of them was that they “Diligently, faithfully and loyally execute on a short-term plan: get TMTG’s corporate governance established, get Truth Social ready to launch, and find a suitable special purpose acquisition company to take the new company public and access capital to advance TMTG’s business plan.”

Trump Media faced numerous challenges on its path to market, such as a 2022 rescue that involved emergency loans, some of which were provided by a Russian-American businessman currently under investigation for insider trading and money laundering.

Last week, Trump Media finally went public, with predictions that its success could alleviate some of Trump’s financial strain as he faces multiple legal battles and civil cases.

However, despite high valuations, Trump Media has encountered significant instability, earning a reputation as a volatile “meme stock.” After disclosing a $58.2 million loss for the previous year, Trump’s stake in the company fell by $1 billion in one day.

According to Trump’s lawsuit, Moss and Litinsky were entitled to receive approximately 8.6 million shares, valued at around $444 million based on Tuesday’s closing price. However, the suit claims that the former contestants failed at every stage of Trump Media’s establishment, neglected crucial corporate governance and made reckless decisions that impeded merger plans and caused a year-and-a-half-long delay—upon their departure from the company, Moss and Litinsky allegedly attempted to obstruct its progress, which included filing their lawsuit in Delaware to claim their promised stake.

The February lawsuit filed by Moss and Litinsky prompted Judge Sam Glasscock III to express surprise that Trump had chosen to file a separate lawsuit in Florida rather than present a counterclaim in Delaware. The judge indicated that he would consider imposing sanctions against Trump.