A U.S. federal judge has dismissed a cryptocurrency investor lawsuit against Mark Cuban and the Dallas Mavericks, ruling that Florida courts lack jurisdiction over the case.
The decision, issued Friday by Judge Roy K. Altman of the U.S. District Court for the Southern District of Florida, concluded that plaintiffs failed to establish a sufficient legal connection between Florida and the alleged promotional activities tied to the now-defunct crypto lender Voyager Digital.
Court says national crypto promotions aren’t enough
The class-action lawsuit, originally filed in 2022, accused Cuban and the Mavericks of using their public profile to promote Voyager’s crypto products, allegedly contributing to investor losses following the company’s bankruptcy.
However, the court emphasized that nationwide marketing campaigns, press appearances, and app promotions do not automatically constitute targeted activity toward Florida residents. Under Florida’s long-arm statute and constitutional due-process standards, the judge ruled, plaintiffs must show purposeful direction of conduct toward the state — a threshold the lawsuit failed to meet.
Importantly, the ruling did not address whether the promotions themselves were misleading or improper. Instead, it focused solely on jurisdictional limits.
Case dismissed without prejudice
Judge Altman dismissed the lawsuit without prejudice, meaning plaintiffs retain the right to refile their claims in a different jurisdiction where personal jurisdiction can be properly established.
The complaint cited remarks Cuban made during an October 2021 Mavericks press conference, where he said he had personally invested in Voyager. It also referenced a team promotion offering $100 in Bitcoin to fans who downloaded the Voyager app, deposited funds, and completed a trade.
Cuban’s defense pushes back
Cuban’s legal team argued that neither Cuban nor the Mavericks specifically targeted Florida residents and noted that Cuban has repeatedly urged caution when discussing crypto investments publicly.
Brown Rudnick, the law firm representing Cuban and the Mavericks, said the dismissal followed years of litigation and jurisdictional discovery. The firm stressed that the court rejected the idea that broad national marketing alone can establish jurisdiction in any state where investors claim losses.
“We couldn’t be more pleased with the absolute right result,” lead counsel Steve Best told ESPN, adding that Cuban does not settle cases when he believes he is on solid legal ground.
Voyager collapse continues to fuel litigation
Voyager filed for Chapter 11 bankruptcy protection in July 2022 after suffering heavy losses during the crypto market downturn and from counterparty failures. At its peak in 2021, the company reportedly held more than $5 billion in assets and served nearly 3.5 million customers.
Its collapse has triggered a wave of lawsuits targeting executives, partners, and high-profile promoters, as courts continue to test the legal boundaries of crypto marketing and celebrity endorsements.
Cuban’s Mavericks stake and ongoing role
Cuban sold his majority stake in the Mavericks to casino billionaire Miriam Adelson in late 2023 but retained a minority ownership interest and remains involved in basketball operations, according to reports.
Why this ruling matters
The dismissal highlights the growing importance of jurisdictional limits in crypto-related lawsuits, particularly those involving celebrity endorsements and nationwide digital marketing. While plaintiffs may continue pursuing claims elsewhere, the ruling reinforces that online visibility alone does not automatically expose promoters to legal action in every state.
Disclosure: This article is for informational purposes only and does not constitute legal or investment advice.
