Pillow entrepreneur Mike Lindell, a prominent supporter of the election denial movement, is facing financial troubles, according to recent public records and interviews. Lawyers representing Lindell in several defamation lawsuits have filed to withdraw from the cases due to millions of dollars in unpaid fees. This would leave Lindell without legal representation in lawsuits seeking over $1 billion in damages. Lindell acknowledged his lawyers' decision, stating, "They have to feed their families." He attributed his financial woes to his activism surrounding the 2020 election.

Smartmatic, one of the firms suing Lindell for defamation, expressed concern that he was using the news of his lawyers' withdrawal as an opportunity to fundraise for his election fraud campaign. Lindell had already sent a fundraising email seeking $200,000 from supporters referencing his lawyers' motion. Lindell, the CEO of MyPillow and a Trump associate, has dedicated significant funds to conferences, legal efforts, and his digital media venture to promote unproven conspiracy theories about voting machines and the 2020 election. He has collaborated with state-level groups across the country and continues to engage with activists on weekly conference calls. Lindell has also used MyPillow advertising to support conservative and right-wing media outlets that amplify his claims.

Financial difficulties for Lindell began to emerge when major big-box retailers terminated distribution contracts with MyPillow, following Lindell's meeting with former President Donald Trump at the White House, where notes mentioning "martial law if necessary" were visible. Last year, MyPillow recorded a $7 million loss after Walmart pulled the company's products from its stores. Property records indicate that one of Lindell's residences is under an IRS lien for $4.6 million in unpaid taxes from 2020. Lindell attributes the lien to ongoing negotiations over a tax write-off related to a pharmaceutical company investment.

In addition to his legal battles, Lindell has also been ordered to pay $5 million to a software engineer who attempted to debunk the data Lindell claimed proved election hacking. Lindell has refused to pay the engineer, leading to lawsuits from both parties. Lindell's credit line with American Express was reduced from $1 million to $100,000, limiting his ability to pay his lawyers for the defamation suits. Lindell accused American Express of targeting him due to his political activities, but the company denied making decisions based on personal views or political affiliations.

Attorneys representing Lindell and MyPillow have moved to withdraw from the defamation cases, citing millions of dollars in unpaid fees. Lindell, who stated he cannot afford the attorneys' monthly costs of $2 million, emphasized his commitment to the lawsuits and his refusal to settle with the companies suing him. The withdrawal of legal representation follows an auction of over 700 pieces of MyPillow equipment in July, which Lindell attributed to a shift from big-box and mall store sales to a direct-to-consumer approach after retailers canceled his product. Lindell expressed hope for a sales boost during the holiday season.

The law firm representing Lindell claims that payments began to slow in 2023 and became only partial payments, leading to their decision to withdraw from the cases. Lindell expressed his determination to continue his legal fight despite his financial difficulties, stating that he had already spent $50 million of his own money. The impact of Lindell's financial woes on the broader election denial movement and conservative news media, which he has financially supported, remains uncertain. Other donors have contributed to the movement, and MyPillow's advertising and revenue-sharing agreements with conservative media have provided support to right-wing figures.