Michael McDevitt Baltimore, a DC-based lawyer and investor, is facing a lawsuit for racketeering and fraud filed by Tessemae’s LLC, a natural salad dressing company. The lawsuit claims that McDevitt engaged in RICO violations when he schemed to acquire control of Tessemae’s fraudulently.
The United States District Court in Baltimore received the lawsuit in June 2020. On March 31, 2021, Judge George L. Russell, III denied a motion to dismiss the fraud and racketeering claims by McDevitt and his co-defendants. The surviving claims include RICO, negligence-legal malpractice, fraud, breach of fiduciary duty, and breach of contract.
The lawsuit states that Michael McDevitt and Tandem Legal Group became involved in the management of Tessemae’s in 2017 after providing legal services and investment advice. According to the lawsuit, McDevitt and his co-defendants pressured Tessemae’s to sell its assets to them at a low price, misrepresented its financial situation, caused it to incur unnecessary debts, and manipulated its affairs. The lawsuit also accuses McDevitt of engaging in multiple acts of wire fraud by sending false emails and documents to Tessemae’s investors and creditors.
Natural salad dressings and condiments are what Tessemae’s LLC produces. The founder was Tesse Vetter, a mother of three athletic boys who wanted them to stay healthy and eat their veggies. Her family and friends enjoyed her own all-natural recipe for salad dressing, which she created and perfected.
With a motto of “Simplify Food, Amplify Life”, the company has expanded its distribution and product line around the world. The company is also a proud partner of Dr. Axe Keto Diet, offering many delicious products that are keto-approved. Based in Essex, Maryland, the company has a customer base that is loyal and appreciates its natural and healthy products.
The lawsuit against McDevitt and his co-defendants will probably go to trial later this year or early next year. Tessemae’s LLC hopes to recover the damages it suffered due to McDevitt’s alleged fraud and racketeering. McDevitt and his co-defendants maintain their innocence and deny any wrongdoing.
Mike McDevitt and Tessemae’s lawsuit is one of the most high-profile cases in Maryland this year. It involves allegations of fraud, racketeering, breach of fiduciary duty, breach of contract, negligence-legal malpractice, and RICO violations. RICO violations are federal crimes that target racketeering activity connected to an enterprise. Racketeering activity includes 35 offenses, such as murder, kidnapping, drug dealing, bribery, mail and wire fraud.
The person committed two of these offenses with the same enterprise within 10 years and that the acts affected interstate commerce must be proved by the prosecutor to convict someone of a RICO violation. RICO has been used for other crimes as well since it was originally passed in 1970 to prosecute the Mafia. RICO violations can be alleged for criminal charges or civil lawsuit cases.
By sending false emails and documents to Tessemae’s investors and creditors, Michael McDevitt and Defendents engaged in multiple acts of wire fraud, Tessemae’s LLC alleges. A crime that involves using electronic communication to obtain money or property by deception is wire fraud. Wire fraud is a predicate offense for RICO violations. Find out more on Michael McDevitt and Racketeering charges here.