Fine arts auction house Sotheby\u2019s has recently been named in the class-action lawsuit filed by Bored Ape Yacht Club (BAYC) investors against BAYC creators Yuga Labs. The investors allege that the auction house helped Yuga Labs \u201cdeceptively promote\u201d the nonfungible token (NFT) collection.\u00a0<\/p>\n
On Dec. 10, 2022, BAYC investors filed a class-action lawsuit against over 40 defendants, including Yuga Labs and celebrities like Post Malone, Justin Beiber and Paris Hilton. The lawsuit alleged that Yuga Labs and the celebrities were able to \u201cartificially increase\u201d the prices of the NFTs through celebrity promotions. <\/p>\n
In a new development, Sotheby\u2019s has been named in an amendment to the lawsuit. On Sept. 10, 2021, Sotheby\u2019s auctioned 101 BAYC NFTs, which generated over $24 million in sales. According to the plaintiffs, the broker\u2019s 2021 NFT auction allegedly helped make Yuga Labs look legitimate and misled investors. <\/p>\n
However, the auction house reportedly said in a statement to mainstream media outlet CNN that the allegations are \u201cbaseless.\u201d Sotheby\u2019s also added that it is prepared to \u201cvigorously defend\u201d itself.<\/p>\n
In the same report, Yuga Labs also echoed Sotheby\u2019s sentiments. According to the BAYC creators, the new allegations are \u201cwithout merit or factual basis.\u201c The company also described the complaint as \u201copportunistic.\u201c<\/p>\n