Ryan Howard, Family at Odds Over Finances
The Daily News has a big story today about Phillies first baseman Ryan Howard and his legal fight over money with family members. It’s a bit complex — based on suits and counter-suits (which you can read below), and props to reporter David Murphy for untangling it all — so let’s try to break it down to its component pieces:
• In the early part of his career, Ryan Howard’s family was very involved in his financial life. He paid twin brother Corey $92 an hour to handle his business and marketing arrangements; he also says he followed the direction of his father, Ron, to place his finances in the hands of his family. “After winning the National League MVP award in 2006, Ryan incorporated a company called RJH Enterprises into which, court documents say, he had contributed more than $8 million,” the Daily News reports.
• In 2010, however, Ryan Howard says he turned his marketing and promotional efforts to agent Casey Close, then with Creative Artists Agency.
• In 2012, Ryan Howard took control of RJH Enterprises and discovered he had paid his family at least $2,795,337.38, all based on his mother’s authorization.
• When Ryan Howard proposed removing family from his finances, Ron Howard proposed that he and his wife, Cheryl, Ryan’s mother, each be given $5 million.
Corey sued Ryan for breaching their deal. Ryan countersued, saying Corey was engaged in a conspiracy with other family members to defraud RJH. The case was filed in federal court in Missouri.
The good news? The legal fight is over. “Last month, both sides agreed to settle out of court voluntarily after reaching an agreement in principle that resolved the dispute,” Murphy reports. “The case was subsequently dismissed, and no further lawsuits in the matter can be filed.”