A US Court in the Central District of California has granted a motion to dismiss on a class action lawsuit against Yuga Labs, the creator of the Bored Ape Yacht Club non-fungible tokens (NFTs), after finding that the plaintiffs failed to adequately establish that the NFTs are securities. This kind of motion is difficult for a defendant to win, as the court must assume, for the purposes of the exercise, that all the allegations of fact in the plaintiff’s complaint are true.
Authors:
Steven Pettigrove, Partner
Email: spettigrove@piperalderman.com.au
Luke Higgins, Associate
Email: lkhiggins@piperalderman.com.au
Emma Assaf, Law Clerk
Email: eassaf@piperalderman.com.au