BREAKING NEWS: San Francisco 49ers Revoke $95 Million Contract with Ross Dwelley and Demand Refunds — Here’s Why

By Jason Field | NFL Insider | May 2, 2025

 

In a stunning and unexpected development, the San Francisco 49ers have officially revoked the $95 million contract signed just weeks ago with tight end Ross Dwelley, citing a breach of undisclosed team protocols and requesting a full reimbursement of signing bonuses and guarantees paid to date.

The announcement was made early Thursday morning via an official statement from the team’s front office, sparking widespread speculation across the NFL and sending shockwaves through the 49ers fan base.

 

“After an internal review, the San Francisco 49ers organization has elected to terminate the contract agreement with Ross Dwelley,” the statement read. “Due to violations of agreed-upon conduct standards and contractual obligations, we are pursuing appropriate financial remedies, including reimbursement of paid bonuses.”

 

 

Fallout from Record Deal

 

Dwelley, 30, had signed what was considered a surprising and lucrative extension — reportedly worth $95 million over two years, including a guaranteed $20 million signing bonus — to remain a key veteran presence in the 49ers tight end rotation behind star George Kittle.

 

While the details of the revocation remain sealed, multiple sources close to the team suggest the issue stems from an alleged violation of team rules and clauses related to off-field commitments, public image responsibilities, and performance guarantees.

 

NFL insider Adam Jensen reported that the team began internal discussions last week after Dwelley allegedly missed a series of voluntary team sessions and appeared in what one source called a “conflict-of-interest” media campaign without team approval.

 

Dwelley’s Response

Dwelley has not made a public comment as of Thursday afternoon, but his agent, Michael Lerner, issued a strong rebuke of the team’s decision in a brief statement to the press.

 

“Ross Dwelley has at all times honored his commitments to the 49ers, both on and off the field,” Lerner said. “We are shocked and disappointed by the team’s sudden and unwarranted decision to revoke a valid agreement. We will pursue all legal options available under the NFLPA’s rules and collective bargaining agreements.”

 

 

Legal Battle Brewing?

 

NFL analysts are already preparing for what could become a lengthy and high-profile legal dispute between Dwelley’s camp and the 49ers. Revoking a contract of this magnitude is nearly unprecedented in modern NFL history, especially without an immediate criminal or disciplinary issue from the league.

 

“This will absolutely be challenged,” said sports attorney Jenna Lowry. “Unless there’s a smoking gun or clear contractual violation, Dwelley’s camp has a strong argument for wrongful termination.”

 

The NFLPA is said to be reviewing the case and is expected to issue a statement soon. If Dwelley files a grievance, the dispute could be taken to arbitration or resolved through confidential settlement negotiations.

 

Impact on the 49ers’ 2025 Roster

From a football standpoint, the 49ers now face depth concerns at tight end heading into OTAs and mini-camp. With Dwelley out, third-year player Charlie Woerner and recent draft pick Marcus Fitzhugh are expected to compete for the No. 2 TE spot behind George Kittle.

 

Head coach Kyle Shanahan addressed the issue briefly during a Thursday media appearance.

“We’re focused on moving forward with the guys we have,” Shanahan said. “It’s an unfortunate situation, but we believe in our depth and we’ll adjust accordingly.”

Fan Reaction: Confused and Divided

Fans took to social media within minutes of the announcement, many expressing confusion and frustration over both the original $95 million contract and its abrupt cancellation.

 

 

“First they give Ross Dwelley $95M, then yank it? What’s going on in Santa Clara?” one fan posted on X (formerly Twitter).

 

“This is drama the team didn’t need right now. Focus should be on getting back to the Super Bowl,” another commented.

 

Others sided with the team, suggesting that loyalty to organizational standards is more important than player status.

“If he broke the rules, then he’s got to face the consequences. No one’s above the team.”

 

What’s Next?

 

As the dust settles, attention turns to both the legal outcome and how this distraction might affect the 49ers’ upcoming season. With Super Bowl expectations once again looming over Levi’s Stadium, team executives are under pressure to maintain focus and locker room stability.

 

For Ross Dwelley, the path forward is less clear. Once a respected role player with a strong fan following, his immediate NFL future is now in jeopardy.

 

Unless the situation is resolved quickly and quietly, this could become one of the most dramatic contract disputes in recent NFL memory.