Law Firms
Fenwick & West reaches $54M deal to settle FTX litigation
Fenwick & West has agreed to pay $54 million to resolve claims from FTX Trading Ltd. investors as part of a series of settlements involving investor disputes over the fall of the cryptocurrency exchange. (Image from Shutterstock)
Fenwick & West has agreed to pay $54 million to resolve claims from FTX Trading Ltd. investors as part of a series of settlements involving investor disputes over the fall of the cryptocurrency exchange.
The investors asked a Florida federal judge Friday to sign off on three proposed settlements in the multidistrict litigation over the collapse of FTX. Accounting company Prager Metis has also agreed to pay $11.75 million, and Udonis Haslem, a former player for the Miami Heat, has agreed to pay $420,000 over his role in promoting the platform, according to a story by Law360.
“Given the alternative of continued, long and complex litigation before this court, the risks involved in such litigation and the possibility of further appellate litigation, the availability of prompt relief under the settlement is highly beneficial to the class,” the investors said Friday in their motion for preliminary approval of the deals.
Fenwick & West represented FTX and cryptocurrency trading company Alameda Research, both run by imprisoned founder Sam Bankman-Fried, for several years. There have been numerous lawsuits over the representation, including a separate wave of multidistrict litigation brought by FTX investors that was partially settled in February, according to a story by Law.com.
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