Fenwick & West Files Motion to Dismiss in FTX Lawsuit Alleging Role in Crypto Exchange Collapse

Fenwick & West LLP has filed a motion to dismiss claims that it played a central role in the FTX collapse, arguing that, after two years of litigation, the plaintiff’s pleadings do not satisfy the evidentiary standard required to show the firm had knowledge of any client misconduct. The 2023 suit names multiple defendants and focuses on investor allegations stemming from the multi‑billion‑dollar cryptocurrency exchange failure.

If the court grants the dismissal, Fenwick & West would be excluded from ongoing proceedings, potentially narrowing the scope of the lawsuit and reallocating litigation risk among remaining parties. The outcome will hinge on whether the plaintiff meets the applicable pleading requirements and the court’s assessment of asserted facts and legal sufficiency.