Fyre Festival posted a statement on their website:
Ja Rule posted a note on Twitter that said "I wanted this to be an amazing event it was NOT A SCAM as everyone is reporting; I don't know how everything went so left but I'm working to make it right by making sure everyone is refunded." He went on to say "I truly apologize as this is NOT MY FAULT... but I'm taking responsibility." News organizations compared the chaos to
William Golding's novel
Lord of the Flies and
Suzanne Collins's novel
The Hunger Games. The
Bahamas Ministry of Tourism apologized on behalf of the nation, and denied having any responsibility for how the events unfolded. The workers who constructed the site and the restaurant that provided meals for festival staff were never paid, leading to the restaurant owner appealing for assistance on the crowdfunding platform
GoFundMe. Fyre Festival announced that it would offer all attendees a choice between a full refund or VIP tickets to a festival proposed for the following year (which was not held).
Lawsuits As a result of the festival, McFarland and Ja Rule were the subject of a $100 million lawsuit in the state of California. It was filed on behalf of plaintiff Daniel Jung by entertainment lawyer
Mark Geragos, who sought class action status for the lawsuit, with more than 150 plaintiffs. The lawsuit alleged fraud, breach of contract (partly because of the decision by the organizers to make the festival cashless so that attendees didn't bring money for taxis), breach of
covenant of good faith (partly due to the inadequate catering and the incident where attendees were locked in the airport), and negligent misrepresentation.
Ben Meiselas of Geragos's firm pledged to hold "all those who recklessly and blindly promoted the festival" accountable, which was interpreted as being directed at Jenner, Hadid, and other social media influencers. A Geragos lawyer stated that Fyre Festival sent cease and desist letters to whistleblowers. Ja Rule was dismissed from the lawsuit in July 2019. A second class action lawsuit against Fyre Media, McFarland, Ja Rule, and the event promoters identified as "
Does 1–100" was filed in Los Angeles by personal injury lawyer John Girardi on behalf of three attendees. The plaintiff alleges that they deceived patrons into attending the festival by paying more than 400 social media personalities and celebrities to promote it. The parties were accused of breach of contract, negligent misrepresentation, and fraud, but the suit was later dismissed. After the second class action lawsuit, a Bloomberg reporter filed a
FOIA request to the
FTC regarding their Instagram knowledge. "Upon the arrival of guests to the island of Great Exuma for the first weekend, the island was lacking basic amenities, was covered in dirt, and guests had to sleep in tents with wet blankets," the suit claims. "There were no communal showers or bathrooms as promised; instead there were porta potties (only about one for every 200 yards) that were knocked down and only three showers although there were hundreds of people arriving." This lawsuit was dismissed in November 2019 with leave to replead with respect to particular allegations against Ja Rule. On May 4, another lawsuit was filed by National Event Services (NES), which provided medical services for the festival and claimed to have suffered $250,000 in damages, alleging breach of contract, fraud, and negligence by the organizers. The suit alleged that Fyre "failed and/or refused" to buy cancellation insurance and "failed to secure a contract with a medical evacuation helicopter or plane." NES employees reported that the local medical clinic was closed and the accommodation was "uninhabitable" with "bug infestation, bloodstained mattresses, and no air conditioning". Also in May, festival attendee Andrew Petrozziello filed a lawsuit in New Jersey federal court alleging that the organizers violated the state's consumer fraud act and committed breach of contract. A sixth lawsuit, filed in Florida federal court as a class action suit, alleged violations that include fraud, negligence, and breach of contract. The plaintiffs, Kenneth and Emily Reel, accused the organizers of sending
cease and desist letters to people who criticized the festival on social media. A seventh lawsuit was filed in Manhattan federal court as a class action suit on behalf of Sean Daly and Edward Ivey. In addition to the infractions mentioned in the other lawsuits, this suit alleges unjust enrichment and violation of New York state business law, claiming that the organizers continued to offer VIP upgrades and opportunities to deposit money into the "Fyre Band" payment system after the festival had been canceled. An eighth lawsuit was filed in
Suffolk County Superior Court in Boston on behalf of ticketing vendor Tablelist. The company is alleging that the festival organizers and financial backers committed breach of contract and fraudulently deceived Tablelist and ticket purchasers. Tablelist is seeking $3.5 million to refund customers, as well as damages resulting from loss of business after being forced to lay off 40% of their workforce to focus on the litigation. On July 3, 2018, two North Carolina attendees, Seth Crossno and Mark Thompson, were awarded $5 million in damages. The judgment was granted against Billy McFarland in absentia after he failed to respond to the court proceedings. Ja Rule was initially named as a co-defendant, but was later removed from the suit after an undisclosed private agreement with the two attendees' attorney.
Ja Rule said in January 2019 that he had also been defrauded by McFarland; in November 2019, he was dismissed from a
class action lawsuit filed by festival attendees, the judge determining that it had not been proven his promotion of the festival on social media had directly led to the plaintiffs' attending.
Criminal investigation On May 21, 2017,
The New York Times reported McFarland and his associates were under an active federal criminal investigation by the
Federal Bureau of Investigation for
mail fraud, wire fraud, and
securities fraud. The case was overseen by the
United States Attorney for the Southern District of New York. In March 2018, McFarland pleaded guilty to one count of wire fraud in what the U.S. Justice Department called a scheme to defraud investors, as well as a second count of wire fraud related to a scheme to defraud a ticket vendor. In October 2018, McFarland was sentenced to six years in prison and ordered to forfeit $26 million. On July 24, 2018, the
Securities and Exchange Commission (SEC) announced that McFarland, two companies he founded, a former senior executive, and a former contractor agreed to settle charges arising out of an extensive, multi-year offering fraud that raised at least $27.4 million from over 100 investors. McFarland admitted to the SEC's allegations against him, agreed to a permanent director-and-officer bar, and agreed to disgorgement of $27.4 million. Grant H. Margolin, Daniel Simon, Fyre Media, and Magnises, Inc. agreed to the settlement without admitting or denying the charges. Margolin has agreed to a seven-year director-and-officer bar and must pay a $35,000 penalty, and Simon has agreed to a three-year director-and-officer bar and must pay over $15,000 in disgorgement and penalty. As of 2018, the settlements were subject to court approval.
Compensation Like other Bahamian suppliers, the caterer who worked on the event was not paid; in 2019 a
crowdfunding appeal raised over $200,000 to compensate her. In August 2020, the
United States Marshals Service auctioned Fyre Festival-branded merchandise that McFarland had kept for future sale, with the proceeds to go to victims. ==Films==