Lawsuit Filed Against OpenSea over its ‘Stolen’ NFT Policy

Lawsuit Filed Against OpenSea over its ‘Stolen’ NFT Policy

An lawyer for NFTs and DAOs, Jesse Halfon has filed a lawsuit in opposition to NFT market OpenSea over its stolen NFT coverage.

The lawsuit focuses on how OpenSea offers with NFTs that are reported ‘stolen’. The coverage has been the topic of frustration amongst customers and has been scrutinized earlier than.

The coverage in query states that OpenSea doesn’t permit sale of stolen NFTs on the platform. However, resulting from this coverage, customers discover that their NFTs are locked and are actually unable to promote them.

This often occurs as a result of the earlier house owners contact OpenSea and report their NFT as stolen. Unfortunately, individuals who now personal the NFT, regardless of having no half within the theft, are unable to promote their NFT.  

Jesse filed the lawsuit by way of the small claims court docket to take motion. Many customers have requested to affix the lawsuit, making it a category motion lawsuit.

However, OpenSea’s time period states, “All claims and disputes within the scope of the arbitration agreement must be arbitrated on an individual basis and not on a representative or collective class basis,” successfully banning class motion lawsuits.

However, Jesse said that though this does make the opportunity of a category motion case unlikely, it isn’t inconceivable.

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