A Minnesota law firm has filed a lawsuit against MyPillow, Inc., alleging the company has failed to pay a significant amount of money owed as part of a settlement agreement in a labor law class action case. The lawsuit stems from a prior legal dispute in which a group of call center employees claimed MyPillow violated federal and state labor laws related to overtime pay and timely wage payments.
In March 2024, MyPillow agreed to settle the lawsuit, and by May 2024, the court approved the settlement. The company was required to pay $36,866.38 to resolve the labor law claims and an additional $75,000 in attorneys’ fees and costs. While MyPillow quickly paid $36,189.81 of the settlement funds, a remaining $676.57 has not been issued to one of the class members due to a request for a reissued check after an address change. Despite multiple attempts to resolve this issue, the company has allegedly failed to respond to requests for payment.
The lawsuit claims that MyPillow has also refused to pay the $75,000 in attorneys’ fees, despite numerous attempts by the law firm to obtain the outstanding balance. On December 9, 2024, the firm contacted MyPillow’s Deputy General Counsel, notifying the company of its intent to enforce the settlement agreement. A few days later, the counsel acknowledged receipt of the communication, but by December 20, after further inquiries, MyPillow had yet to confirm when payment would be made. Since then, no response has been received.
The law firm is now seeking to recover both the outstanding amount and additional legal fees incurred in attempting to enforce the agreement. The breach of contract lawsuit was filed in Minnesota state court on January 29, 2025, shortly after the lead plaintiff in the class action case filed a writ of execution in federal court to recover the unpaid sum.
MyPillow and its founder, Mike Lindell, are facing a series of financial and legal challenges. In recent months, courts have ruled against the company in multiple disputes, including an eviction case over unpaid rent, a judgment ordering the company to pay a delivery service over $777,000, and another requiring Lindell to pay more than $50,000 in legal costs from a separate lawsuit. The company has also been involved in lawsuits related to merchant cash advances, with claims of excessive interest rates.
Despite these mounting legal and financial troubles, MyPillow has not publicly addressed the most recent lawsuit.
