The 3-year-long awaited lawsuit targeting Tezos [XTZ] has finally come to a conclusion after Judge Seeborg approved Tezos’ $25 Mln settlement earlier on 28th Aug.
In line with the official judgment, the funds are going to be distributed among “all persons and entities” who participated within the Tezos’ 2017 ICO from 1st to 13th July and sold their XTZ for a loss before 15th Nov., last year, didn’t sell their tokens before 25th Nov., or are unable to access their XTZ due to lost passwords.
Eligible parties must file a claim to receive a share within the settlement before 16th Oct., 2020.
The plaintiffs’ counsel was also awarded attorneys’ fees adequate to one-third of the settlement funds, plus roughly $203k worth of litigation expenses that the defendants must pay separately.
The settlement also excludes the case’s defendants, the family of Tezos’ founders, as well as the individuals who held a designation with the Tezos Foundation or a firm that had a “controlling interest” within the offering.
The settlement also saw the plaintiffs relinquish their right to form future claims against Tezos and therefore the other defendants.
Judge Seeborg described the agreement as “fair, reasonable, & adequate,” adding that the case comprised “cutting edge litigation” that addressed novel issues for perhaps the primary time.
The case started earlier in December 2017, when a group of personal plaintiffs sued Tezos founders Kathleen and Arthur Breitman, and therefore the Tezos Foundation, alleging that the project’s ICO comprised an unlicensed securities offering.