Yuga Labs has settled a lawsuit against artists Ryder Lipps and Jeremy Kayen over alleged counterfeiting of non-fungible tokens (NFTs) from the Bored Ape Yacht Club collection.
The agreement ends a two-year dispute over whether the pair’s project, which reused Bored Ape’s images, crossed the line from satire to trademark infringement.
The proposed court order would permanently prohibit Lipps and Kayen from using Yuga’s trademarks and images, according to a California federal court filing. Terms of the settlement were not disclosed.
Yuga’s Bored Ape collection has become one of the most famous $NFT Brands at the peak of the market. In 2022, the company filed a lawsuit against Lipps and Kayen for selling similar tokens on RR/BAYC. $NFT It confused buyers, collected it and made millions of dollars. Defendants claimed that their work was a satirical response to the actual Bored Ape Yacht Club collection.
A district judge initially sided with Yuga, awarding approximately $9 million in damages and fees. But an appeals court later reversed that decision, saying a jury should decide whether the purchaser was in fact misled. The settlement avoids that trial.
