A group calling themselves the Tezos Community Organizers (TCO) has launched an online petition seeking to end the frivolous lawsuits which were filed against the Tezos Foundation, and associated entities, after launch delays in 2017. At time of writing, the petition has garnered over 300 signatures from Tezos contributors and supporters who wish to call out the lawsuits and add their name to an amicus brief in the case.
According to the petition description, TCO has outlined ten points of contention with the current lawsuits pending in California. In a post to the Tezos reddit forum, TCO summed up the goals this way:
The class action lawyers and the plaintiffs have brought communication at Tezos to a near total silence. The reason we do not hear from the Tezos Foundation, and likely why launch has been previously delayed, is because the lawsuits have forced all parties to not utter anything that could disadvantage them. Relationships with vendors, developers, business partners and banks have become strained because of this legal storm cloud. Every single action requires enormous efforts to clear legally.
This must come to an end, and forcefully.
The TCO intends to collect thousands of signatures denouncing the class action and the plaintiffs, and submit it to the court in San Francisco as an amicus brief in the cases. This brief will allow the defense(s) to call the brief for review in court, and show the court that there are perhaps thousands of Tezos Community Members who denounce 6 plaintiffs, and therefore, there is no class, and the case(s) should be dismissed for inability to form a class.
The lawsuit alleges that Tezos was sold as an unregistered security during the ICO fundraiser in July of 2017, and plaintiffs are seeking refunds for their contributions. Despite weak legal ground for the unregistered security charge, the burden of ongoing litigation has taken a toll. Furthermore, lawyers for the plaintiff erroneously claim to speak for the entirety of all Tezos contributors and have intention of launching a large class action suit against the groundbreaking blockchain.
While some Tezos contributors are understandably angry over delays, very few believe that legal avenues will help the situation or lead to a faster release schedule. In reality, rather than improve the situation, the lawsuits have crippled communication on the project with Tezos lawyers advising everyone involved, including Tezos founders Arthur and Kathleen Breitman, to avoid comment on anything outside questions regarding technology of the protocol.
Luckily, for contributors and followers of the project, the Tezos Foundation, as reorganized back in February, has been able to take up the slack of communication to keep the community updated as conditions permit. While the frequency of updates is still angering some, the Foundation has been working in difficult circumstances as all communication must be approved by the Foundation’s attorneys before publishing.
With these issues in mind, TCO has decided to push back against the lawsuits and argue that the suits themselves are damaging the interests of thousands of contributors who do not wish to be part of any class action suit against Tezos. Hopefully this move will assist the defense in seeking dismissal of the case so that normal communication can resume and Tezos can thrive as the Betanet launch draws near.
As reported previously, the lawsuits pose little risk to the upcoming Betanet launch, but have severely hindered ongoing communication efforts of the Tezos founders and Foundation.