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Brett Favre seeks dismissal from Mississippi welfare funds lawsuit again

Feb. 10, 2023
Brett Favre seeks dismissal from Mississippi welfare funds lawsuit again

Brett Favre's lawyers has filed papers again asking a Mississippi judge to dismiss the retired NFL quarterback from a lawsuit demanding repayment of millions of dollars of welfare money intended to help some of the poorest people in the US.

It comes just a day after DailyMail.com first revealed a defamation lawsuit was filed by Favre's lawyer against podcast host Pat McAfee and FS1 host Shannon Sharpe, and Mississippi State Auditor Shad White for 'defamatory allegations.'

The Mississippi Department of Human Services last year sued Favre and more than three dozen other people or businesses. 

The suit says money from the Temporary Assistance to Needy Families program was improperly spent, including on projects Favre supported: $5million for a volleyball arena at the university where Favre's daughter played the sport and $1.7m toward development of a concussion treatment drug. 

'It is apparent that MDHS has sued Favre, a Mississippi and national celebrity, to try to deflect responsibility for its own egregious wrongdoing in allowing tens of millions of dollars of its public funds to be misspent - funds for which MDHS itself admits it was "exclusively responsible," said the filing Friday by Favre's lawyers, including Eric D. Herschmann of Austin, Texas.

'Brett Favre has done nothing wrong. MDHS still does not and cannot allege that he did. 

'There is no factual or legal basis to include Favre in this lawsuit — in which MDHS seeks to recover public funds it misspent — and no justification for the defamatory torrent of negative publicity concerning Favre that MDHS has instigated and others have propagated — negative publicity that properly should be directed not at Favre, but at MDHS and those responsible for spending and monitoring its funds.'

Favre, who lives in Mississippi, sought to be dismissed from the state lawsuit in November, then the state revised its demand against him in December. The filing Friday responds to the state's December demand.

The ex-Packer suing former NFL stars Sharpe and McAfee follows comments they made about Favre in recent months. 

Sharpe called Favre a 'sleazeball' on his FS1 show in September while accusing the retired quarterback of knowingly stealing $1.1m in Mississippi welfare funds in exchange for speeches that he never made. McAfee, a former Colts punter, accused him of 'stealing from the poor people of Mississippi,' while White claimed Favre knew the origin of the welfare funds. 

Favre has not been charged in the case, which has already resulted in several guilty pleas, and he has repaid the $1.1 million he received for no-show speaking gigs. 

WARNING: Explicit Language 

Earlier Friday, McAfee appeared unconcerned with the lawsuit, while insisting he used the word 'allegedly' when discussing Favre's involvement in the case, thereby bolstering his defense against defamation claims. 

'We take a lot of pride in our work,' McAfee said alongside Friday's guest panel. 'We had to cover that situation. And we certainly said ''allegedly.''

'And a lot of people are wondering how my lawyers are gonna handle this,' he continued, raising a beer to his audience. 'You know it: I ain't got 'em. So let's ride this f*****. I'm excited to see how it goes. I'll see you in court, pal. Cheers to everybody and cheers to a ''Feel Good Friday'' not being ruined by that at all.'

McAfee explained he was told by Favre representatives that he had a deadline to apologize and delete any online videos in which he commented on the Mississippi native. The Wednesday deadline passed without McAfee apologizing to Favre, and he was promptly sued in Mississippi on Thursday afternoon.

'I was planning on doing it,' McAfee joked about the apology. 'We played pickleball. Oh I'm sorry.'

McAfee refused to deny making claims against Favre, reminding his audience that he did soften his accusations against the retired quarterback by using the word 'allegedly.'

'I don't think this is ending anytime soon,' McAfee predicted.

Fox Sports representatives have not responded to DailyMail.com's request for comment.

In response to Thursday's defamation lawsuit, White spokesman Fletcher Freeman issued a statement to DailyMail.com.

'Everything Auditor White has said about this case is true and is backed by years of audit work by the professionals at the Office of the State Auditor,' Fletcher wrote. 'It's mind-boggling that Mr. Favre wants to have a trial about that question.

'Mr. Favre has called Auditor White and his team liars despite repaying some of the money our office demanded from him. He's also claimed the auditors are liars despite clear documentary evidence showing he benefitted from misspent funds. Instead of paying New York litigators to try this case, he'd be better off fully repaying the amount of welfare funds he owes the state.'

A Favre spokesman directed a statement towards White in an email to DailyMail.com on Thursday.

'Shad White has done a disservice to the people of Mississippi,' Favre's spokesperson told DailyMail.com. 'Here is some free advice for Shad White: do what state auditors are supposed to do—fix the state's failure to have controls in place to ensure that it properly safeguards the taxpayers' money, not smear the reputations of private citizens to serve his own personal and political ambitions.'

The Favre spokesman also addressed Sharpe and McAfee: 'Shannon Sharpe and Pat McAfee tried to further their careers by making baseless defamatory allegations against Brett Favre. Today, Brett Favre has sued both of them. Mr. Favre has spent his retirement from the NFL focused, on, among other things, helping people suffering from concussions. Sadly, Shannon and Pat have decided to spend their time making false public statements against Brett.'

As a public figure, Favre will need to prove actual malice against Sharpe, McAfee and White. There is also the truth doctrine, which allows individuals to avoid liability if their statement is deemed to be truthful.

And to determine whether or not White, Sharpe, and McAfee were speaking truthfully, there will be a discovery period, which may involve depositions.

White claimed that Favre knew the money he received from the no-show speaking gigs came from a non-profit funded by state taxes, according to the defamation lawsuit filed Thursday in Mississippi.

'[W]e know that Mr. Favre not only knew that he was receiving money from this non-profit which was funded by taxpayer dollars,' White told CNN on September 15, 2022, according to the lawsuit. 'We know that the funding for that was a sham, and we know that he knows that too.'

McAfee similarly claimed that Favre knew about the origin of the funds.

'Every time his name gets brought up, we have to mention that he tied the hands of the poor people and took money right out of their pockets,' McAfee said about Favre, according to the defamation lawsuit.

'[Favre is] certainly in the middle of stealing from poor people in Mississippi right now,' McAfee allegedly said on another occasion.

Sharpe also claimed that '[Favre] stole money from the people that really needed that money.'

'Today, Brett Favre has sued [Sharpe and McAfee],' the retired quarterback's spokesman told DailyMail.com. 'Mr. Favre has spent his retirement from the NFL focused, on, among other things, helping people suffering from concussions. Sadly, Shannon and Pat have decided to spend their time making false public statements against Brett.'

The former Southern Mississippi star is seeking nominal and general damages from all three, 'including compensation for injury to Favre's character and reputation.' He is also seeking unspecified punitive or exemplary damages.

Favre is among 38 individuals or organizations being sued by the state in May to recoup $24m from the $77m welfare scheme.

Previously unearthed text messages from 2017 revealed Favre's efforts to divert $5m in welfare to a new volleyball arena for the University of Southern Mississippi, his alma mater, where his daughter was playing the sport at the time. In one message, Favre wondered: 'Is there anyway (sic) the media can find out where [the money] came from and how much?'

Favre has denied knowing the source of the funding.

'No one ever told me, and I did not know, that funds designated for welfare recipients were going to the University or me,' Favre told Fox News in an October statement. 'I tried to help my alma mater USM, a public Mississippi state university, raise funds for a wellness center. My goal was and always will be to improve the athletic facilities at my university.'

Mississippi's lawsuit described Favre as the largest outside investor and stockholder in Prevacus, a Florida-based company that was developing a concussion drug.

That lawsuit said in December of 2018, Favre pushed Prevacus CEO Jake VanLandingham to request welfare funds from Nancy New, who ran a nonprofit organization and an educational company with her son, Zach. The purpose of Favre's request, according to the State's lawsuit, was to use welfare grant money to invest in Prevacus.

Favre allegedly hosted a Prevacus investors meeting at his Mississippi home in 2019, which was attended by VanLandingham, Davis, Nancy New, Zach New and wrestler Ted DiBiase Jr., according to Mississippi's lawsuit. It was at that meeting that the parties agreed to spend 'substantial' welfare grant money on Prevacus and, ultimately, its corporate affiliate PreSolMD Inc.

Over the next 10 months, the company received $2.1m, which had been earmarked for the state's welfare fund. Officially, the funding diverted to Prevacus was 'for the purpose of securing ''clinical trial sites'' to be located within Mississippi,' according to the lawsuit, provided to DailyMail.com.

Instead, the Auditor's lawsuit claims, the money was used by individuals to purchase stock in the company. But while the stock was in the names of New and her son, Zach, the State claims the investment was for the financial benefit of Favre, VanLandingham and the two companies.

The May lawsuit demanded the repayment of $2.1m in welfare grant money that was given to the two companies in 2019.

In his October statement to Fox News, Favre insisted that everything was handled properly on his end, including his efforts to fund Southern Miss athletics with the help of New's charity.

'State agencies provided the funds to Nancy New's charity, the Mississippi Community Education Center, which then gave the funds to the University, all with the full knowledge and approval of other State agencies, including the State-wide Institute for Higher Learning, the Governor's office and the Attorney General's office,' he said.

'I was told that the legal work to ensure that these funds could be accepted by the university was done by State attorneys and State employees.'

In a statement to Fox News, White said Favre's 'analysis was incorrect' because Temporary Assistance for Needy Families (TANF) cannot be used to fund such projects.

'The volleyball court needed to be used to benefit the needy in Hattiesburg,' White said, referencing the Mississippi town where the Southern Miss campus is located.

'And fast-forward to today, what we know now is that the volleyball court has not been used to benefit the needy. So, this is an unallowable use of TANF funds for a few different reasons. And for those reasons, it doesn't matter that the attorney signed off on this. What matters is that it simply is not an allowable use of TANF funds, and it's our job in the Auditor's office to point that out when we see it.'

Specifically, TANF funds are not permitted to be used for brick-and-mortar construction projects, such as a new volleyball court on the Southern Miss campus.

And although White admits there is no documentation showing Favre knew the funding came from the TANF fund, he was aware that the programs involved were supposed to help the poor.

This is not the first time White has been taken to court over public statements.

White was previously sued for defamation in 2021 by University of Mississippi Professor James Thomas, who was responding to the Auditor's claim that he participated in an illegal work stoppage in violation of state law. At the time, White claimed he was entitled to 'absolute immunity' in his official duties, but his motion to dismiss the lawsuit was denied by a Mississippi judge.


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