Skadden Discusses Suit Alleging NBA "Top Shot" NFTs Were Securities

The CLS Blue Sky Blog

Alexander C. Drylewski Stuart D. Levi Daniel Michael Samantha P. Kaplan

Partners Alexander Drylewski, Stuart Levi and Daniel Michael and associates Samantha Kaplan and Shireen Lankarani review a recent denial of a motion to dismiss a class action involving the application of securities laws to an NFT offering. The order, issued by Judge Victor Marrero of the U.S. District Court for the Southern District of New York, represents a first-of-its-kind application of the so-called Howey test to the offer and sale of NFTs.