Lawsuit Alleges Giants’ Zito Was Duped Out Of $3M In ‘Software Scheme’
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SAN FRANCISCO (CBS Sports) — San Francisco Giants pitcher Barry Zito has filed a lawsuit for $3 million against a former friend for allegedly duping him out of that money in a “fitness software scheme that never materialized.”
According to Courthouse News Service, Zito claims Michael Clark used their friendship to gain the trust of Zito and convince him to make a $3 million investment in a startup company, dotFIT LLC, that was in the midst of raising $20 million worth of equity.
As things turn out, according to the Zito camp, the company never had close to that in equity but paid employees “unreasonably high salaries” and bonuses while allegedly taking part in insider loans and other nefarious activities. There were also, per Zito’s attorneys, several areas in which the agreement between Zito and Clark was breached.
Zito is heading into the final season of his seven-year, $126 million contract with the Giants; the $3 million at stake in the lawsuit is about 15 percent of his 2013 salary.
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