The US branch of Dolce & Gabbana escaped a prosecution proposed in terms of collective appeal concerning the alleged abandonment of its parent company of a non -spoil token project (NFT).
Friday, in an order, the judge of the New York Federal Court, Naomi Reice Buchwald, reassured himself with Dolce & Gabbana USA Inc., rejecting the trial because he was not an “alter ego” of his parent based in Italy, Dolce & Gabbana SRL.
A group of Buyers of the NFT claimed in a trial brought in May 2024 and updated in September that Dolce & Gabbana and its American arm “are in fact the same company” which did not succeed in its NFT “DGFamily” project in 2022 and has kept more than $ 25 million.
The future of the prosecution is in doubt because Dolce & Gabbana USA was the only American defendant. The NFT Marketplace, based in Dubai, UnXD Inc. and the Bluebear Italia SRL based in Italy – the creator of an NFT collection called “inbatweeners” – were also called defendants, which, according to the court, were not signified with the complaint.
The trial claimed Dolce & Gabbana abandoned the NFT project
The complaint allegedly alleged that Dolce & Gabbana and UNXD had done and promoted Dgfamily, which would give buyers “great value” services to provide two years at a rate of once a quarter.
Some of the allegedly promised advantages were digital outfits for the decentral metavese, physical clothes and live events for NFT holders.
However, the trial said that Dolce & Gabbana “failed to provide all the benefits they had promised” and prevented millions of dollars from selling the NFT.
Us Arm argued that he was not involved in the NFT
Dolce & Gabbana USA filed a file to rejection of the complaint in January, arguing that it was a separate entity which could not be linked to the actions of its Italian parent company.
“D&G USA did not conclude any joint venture with UNXD, or any other entity, to sell, advertise or promote NFT,” he said.
The cabinet argued that proof of the complaint had established that the NFT project came from its parent company in Italy and that it had not sufficiently claimed its links between American and Italian companies.
The trial failed to separate Dolce & Gabbana USA and Italian Firm: Judge
Judge Buchwald said that the trial was “clearly insufficient to resist the request of D&G USA to reject” because he referred to the American and Italian company “as” Dolce & Gabbana “and attributes any misconduct to this shared nickname, without differentiating what each entity has done.”
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The modified trial has detailed a “overlap of the property, the managers, the administrators and the staff” between the two companies, such as the sharing of a CEO, operational chiefs and IT and marketing leaders, she noted.
However, the prosecution did not “provide specific examples” of how these executives were involved in the NFT project.
“The court concludes that the applicant did not properly affirm that D&G SRL has completely dominated D&G even if D&G would have shared certain employees and offices with D&G USA,” said Buchwald.
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