Has anyone started a class action lawsuit against bfl yet?

[dan9575]

I think its about time, anyone on these boards can flip the bill, if not I say we start a kickstarter campaign.

[Baitty]

Don't think so. Just people threatening too.

[tampazeus]

I think its about time, anyone on these boards can flip the bill, if not I say we start a kickstarter campaign.

Look here for inspiration:

Time to sue ButterflyLabs - Big Single-SC owner let's league for class action
https://bitcointalk.org/index.php?topic=278844.0

[dan9575]

I think its about time, anyone on these boards can flip the bill, if not I say we start a kickstarter campaign.

Look here for inspiration:

Time to sue ButterflyLabs - Big Single-SC owner let's league for class action
https://bitcointalk.org/index.php?topic=278844.0

holy shit, 39 pages of upset customers. I don't even need to read it.

[dan9575]

makes me wonder what their legal team looks like, it's probably one dude in a small boxed room with papers and 5 hour energy drinks flying out the door haha

[The Rouge 1]

I just got word that my jalapeno miner just shipped, do those things actually work?

[Bicknellski]

Class action has started.

http://www.woodlaw.com/sites/default/files/casedocs/2014-04-04%20Complaint.pdf

Code:

Introduction 
 
1. This lawsuit challenges Defendant’s deceptive and unconscionable 
business practices, including: collecting pre-payments for non-existent Bitcoin mining 
equipment, failing to ship Bitcoin mining equipment orders for which consumers have 
pre-paid, misrepresenting the date such equipment is to ship to customers, and 
profiting from Bitcoin mining for Defendant’s own benefit using customers’ equipment 
without permission or authorization from customers. 

[freedomno1]

Class action has started.

http://www.woodlaw.com/sites/default/files/casedocs/2014-04-04%20Complaint.pdf

Code:

Introduction 
 
1. This lawsuit challenges Defendant’s deceptive and unconscionable 
business practices, including: collecting pre-payments for non-existent Bitcoin mining 
equipment, failing to ship Bitcoin mining equipment orders for which consumers have 
pre-paid, misrepresenting the date such equipment is to ship to customers, and 
profiting from Bitcoin mining for Defendant’s own benefit using customers’ equipment 
without permission or authorization from customers. 

Wow about time was thinking necromancy but considering that its been so long I feel for the people who bought BFL gear

[Bicknellski]

Customers Unite to Bring Class Action Against Butterfly Labs

Consumer Fraud

Posted on April 7, 2014 by Noah Wood

The Wood Law Firm LLC announced today that customers from across the country have joined together and filed a class-action lawsuit challenging the sales and advertising practices of Butterfly Labs. The lawsuit against BF Labs, Inc., which does business as Butterfly Labs seeks compensation for customers who pre-paid Butterfly Labs for Bitcoin mining equipment and who did not receive the equipment they paid for, or received the equipment far after Butterfly Labs represented the equipment would ship.

Bitcoin is a peer-to-peer payment system and digital currency. Bitcoins are created by "mining", a process where miners receive transaction fees and newly minted bitcoins in return for verifying and recording payments into a public ledger. By design, mining is a computationally intensive process which today requires purpose-built computer chips to be cost effective.

The complaint, filed in the United State District Court for the District of Kansas located in Kansas City, seeks to recover the pre-payments made to Butterfly Labs and the losses customers sustained due to Butterfly Labs' conduct. The lawsuit alleges Butterfly Labs required customers to pre-pay for orders of ASIC based Bitcoin mining hardware, and used portions of customer pre-payments to make loans to shareholders and purchase a house and automobile for a shareholder. Because the computational difficulty of Bitcoin mining increases over time, by the time some consumers finally received their equipment, the equipment had become worthless because mining with the equipment was no longer cost effective.

"Bitcoin is an exciting and promising new technology. Unfortunately this also makes it an attractive area for people running scams and frauds," stated attorney Noah Wood one of the lawyers for the customers. "Stopping the bad actors and staying vigilant against consumer fraud is absolutely necessary for the successful development of the Bitcoin ecosystem."

According to the complaint, Butterfly Labs may have collected over $25 million in customer pre-payments. The lawsuit also alleges Butterfly Labs, despite telling customers that Butterfly Labs did not mine bitcoins itself, used equipment customers had already paid for to earn mining income for itself under the guise of "testing" such hardware. The complaint states this "testing" served "to enrich Defendant at the detriment of its customers by both denying the customers' use and benefit of the equipment they have already paid for, as well as increasing the overall mining difficulty required to generate future bitcoins."

The case is Alexander et al. v. BF Labs, Inc., Case Number 2:14-CV-02159 (D. Kansas). The customers are represented by Noah Wood and Ari Rodopoulos. A copy of the lawsuit and further information is available from the Wood Law Firm, LLC at www.woodlaw.com/cases/butterfly-labs-and-bf-labs-inc-bitcoin-miners.

Desyth Writes:

I contacted them. All future information will be posted here, according to Noah.

Woodlaw's Case Update Page

Here's what I received, in part: "Right now the lawsuit is in its early stages and has not yet been certified as a class action, so there isn't yet a formal way to add everyone into the lawsuit. After the class is certified as a class action, everybody who fits the class definition will automatically be a participant in the lawsuit. Until it is certified as a class action, we are trying to gather as much information as we can from everyone who did business with Butterfly Labs."

[–]FourthDr 6 points 13 hours ago
So, how does one join such a class action law suit? ;-D


[–]catwelder 5 points 13 hours ago
They still need people email tammy@woodlaw.com

Customers Unite to Bring Class Action Against Butterfly Labs

Consumer Fraud

Posted on April 7, 2014 by Noah Wood

The Wood Law Firm LLC announced today that customers from across the country have joined together and filed a class-action lawsuit challenging the sales and advertising practices of Butterfly Labs. The lawsuit against BF Labs, Inc., which does business as Butterfly Labs seeks compensation for customers who pre-paid Butterfly Labs for Bitcoin mining equipment and who did not receive the equipment they paid for, or received the equipment far after Butterfly Labs represented the equipment would ship.

Bitcoin is a peer-to-peer payment system and digital currency. Bitcoins are created by "mining", a process where miners receive transaction fees and newly minted bitcoins in return for verifying and recording payments into a public ledger. By design, mining is a computationally intensive process which today requires purpose-built computer chips to be cost effective.

The complaint, filed in the United State District Court for the District of Kansas located in Kansas City, seeks to recover the pre-payments made to Butterfly Labs and the losses customers sustained due to Butterfly Labs' conduct. The lawsuit alleges Butterfly Labs required customers to pre-pay for orders of ASIC based Bitcoin mining hardware, and used portions of customer pre-payments to make loans to shareholders and purchase a house and automobile for a shareholder. Because the computational difficulty of Bitcoin mining increases over time, by the time some consumers finally received their equipment, the equipment had become worthless because mining with the equipment was no longer cost effective.

"Bitcoin is an exciting and promising new technology. Unfortunately this also makes it an attractive area for people running scams and frauds," stated attorney Noah Wood one of the lawyers for the customers. "Stopping the bad actors and staying vigilant against consumer fraud is absolutely necessary for the successful development of the Bitcoin ecosystem."

According to the complaint, Butterfly Labs may have collected over $25 million in customer pre-payments. The lawsuit also alleges Butterfly Labs, despite telling customers that Butterfly Labs did not mine bitcoins itself, used equipment customers had already paid for to earn mining income for itself under the guise of "testing" such hardware. The complaint states this "testing" served "to enrich Defendant at the detriment of its customers by both denying the customers' use and benefit of the equipment they have already paid for, as well as increasing the overall mining difficulty required to generate future bitcoins."

The case is Alexander et al. v. BF Labs, Inc., Case Number 2:14-CV-02159 (D. Kansas). The customers are represented by Noah Wood and Ari Rodopoulos. A copy of the lawsuit and further information is available from the Wood Law Firm, LLC at www.woodlaw.com/cases/butterfly-labs-and-bf-labs-inc-bitcoin-miners.

Desyth Writes:

I contacted them. All future information will be posted here, according to Noah.

Woodlaw's Case Update Page

Here's what I received, in part: "Right now the lawsuit is in its early stages and has not yet been certified as a class action, so there isn't yet a formal way to add everyone into the lawsuit. After the class is certified as a class action, everybody who fits the class definition will automatically be a participant in the lawsuit. Until it is certified as a class action, we are trying to gather as much information as we can from everyone who did business with Butterfly Labs."

[–]FourthDr 6 points 13 hours ago
So, how does one join such a class action law suit? ;-D


[–]catwelder 5 points 13 hours ago
They still need people email tammy@woodlaw.com