I have been receiving a lot of emails about the lawsuit of late. I was waiting for the law firm to prepare a proper announcement, but it has been too long since I posted an update. Therefore, I decided I will post a new update on the status today, versus keeping everyone in the dark.
Most, if not all, future announcements will invariably emanate from the law firm directly. I will post them here as they are made available.
As you all know, I had been in conversations with a number of lawyers and law firms since April 2015. After a number of negative experiences, we were finally put in touch with a highly prestigious law firm, with over 100 attorneys, and multiple offices around the United States. We started the dialogue in August of 2015.
We have had many conference calls, and exchanged many documents with attorneys of the firm. The lawsuit was accepted by the firm on December 30th, 2015.
The Discovery Process
As you all know, I have been gathering evidence and copy since early 2015. We are gathering and sorting the information needed to present as evidence to the court, once the “complaint” is filed, and the court certifies “class status” of the lawsuit. The law firm has done a lot of their own due diligence, but we have previously given evidence to them over the past six months.
A short list of prospective plaintiffs was put forward for review by the law firm. Those individuals are awaiting their interviews to be completed. The criteria was extensive and we needed to ensure that the class was well-represented, on all levels of the group, both small and large losses, by solid individuals. All of the lead plaintiffs are from the United States, at this juncture, due to the possible requirement for lead plaintiffs to be present during some of court hearings or, during settlement discussions. Should we need additional plaintiffs, representing the internationally-based victims, I will address such a need at that time.
I cannot list who was chosen as lead plaintiffs in the case at this time, as that will be disclosed at the time of the filing of the complaint, in the court that will be hearing the case.
What is a Class Action Lawsuit
For those of you who are outside the United States, a class action lawsuit differs from a normal litigation against an individual or company. In this case, the lawsuit is for the benefit of all victims, the class, where proof exists to substantiate each member’s claims of loss or damages.
During the final stage of the lawsuit registration process, we asked registrants to upload their supporting documents to GAWsuit.com. Out of the 501 initial registrants, 171 victims completed the process by uploading their proof of loss documents. These individuals have supported their claims that they lost money from the GAW scheme. In a U.S. court of law, the judge will consider such “complaints” for class status, starting at 21 plaintiffs (or when there are 40 or more with supporting evidence). Since 171 people have uploaded their supporting documents, in support of this lawsuit as was requested, we have well above the required 40 or more to substantiate class certification of the lawsuit. For those who did support their claims, by uploading your support documents, you can congratulate yourselves now, as without the supporting documents, we would have had a snowball’s chance in Hades reaching class certification. Now, we have more than enough to justify class certification.
Links to explanations of what Class Action Lawsuits entail:
Any law firm linked to the pages above, is not representing us in the lawsuit.
Lawsuit Member Fees
There are no fees associated with this lawsuit, due from the membership. The law firm is taking the entire lawsuit on a contingency fee basis. The judge decides what that fee will be, after an award has been granted or, a settlement has been reached. The law firm’s fee comes from the award or settlement. The lead plaintiffs will be directly part of the decision whether an award or settlement amount is acceptable to the class hence, the vetting process being undertaken to interview all lead plaintiffs who I have put forward for this lawsuit representation, including myself.
When Will I See Money Coming Back?
Obviously, we have to win the lawsuit, or agree to a settlement, before this question can be answered. Please do not send me emails asking how much or when you will receive money. I cannot answer this question at this moment in time.
Who is the Firm Representing Us?
It is the privilege of the law firm to announce their actions on behalf of the class action, at a time of their own choosing. Invariably, once the “complaint” is filed in court, everyone will know who they are, by default, unless they choose to announce before the “complaint” is filed, on their own website, or through us on GAWsuit.com.
Can I Contact the Law Firm After They Have Filed the Complaint?
Again, this is up to the law firm, but once the complaint is filed, and the “class is certified” by the court, there will be no need for anyone to contact the law firm, as I “assume” the entire class action will be “opt-out.” Anyone opting out of the class action would do so to file their own, separate lawsuit (see definition below). No one will be able to remain in the class action then, after winning the class action, proceed to file their own lawsuit, unless their lawsuit is for a different reason than that represented by the class action lawsuit.
The SEC’s Case
As many are aware, the Securities and Exchange Commission (SEC) has already filed their case against GAW Miners, Zenminer/Zencloud and Garza. As of February 12th, the SEC has filed for a default judgment against GAW Miners and Zenminer/Zencloud, for failure to respond. This will have no direct affect on anything, since we all know that GAW Miners and Zencloud/Zenminer were completely depleted of their funds prior to Garza’s flight to the U.A.E. There is not one cent there to be had for the victims, making the procedure purely a formality. Garza, however, was not listed in the request for default judgment. Garza’s current attorney has filed for an extension till March 2nd, 2016, to respond to the SEC’s litigation. You can read the latest filing here:
Why is the SEC Only Seeking $10 Million in Reimbursement?
The SEC is only targeting Hashlets in their case, as unregistered securities. However, the SEC failed, in my opinion, to study directly-sold Hashpoints (unregistered, “convertible” securities), HashStakers (time deposits with a stamped yield and lock-up period) and directly-sold Paycoin (again, as a guaranteed, unregistered security with a stated minimum value, or floor). If you study the definition of “securities” in the SEC complaint, the aforementioned items fit these conditions as well. I am “assuming” that the SEC did not understand how sold Hashpoints, HashStakers and Paycoin were transacted. Maybe the FBI’s case will address these shortcomings in the future, should they file. Moreover, during the course of the SEC case, it may be revealed that Garza never claimed the windfall from GAW on his personal tax return to the IRS, which is highly likely. This should precipitate action on their part as well. Garza will eventually have to address multiple litigation actions against him, probably for years to come.
At this point, the law firm is now in charge of the lawsuit. I will be supporting them in the successful litigation of this suit. I will reach out to individuals privately, should any specific information be needed to support the case, but I am fairly certain we have more than an abundance of supporting documents, and such, to bring the litigation to a successful conclusion. As stated previously, any information that the law firm wishes to convey will be done by them directly, through their own means, and mimicked here, by me. Once the complaint has been filed, I will provide a link that will give others access to the filing. More than likely, Coindesk (Stan Higgins) will already have reported the complaint being filed; he seems to be well on top of things as it is.