US appeals court overturns Yuga Labs’ $9M win against Ryder Ripps

Key Points

1. The Ninth Circuit Court of Appeals reversed Yuga Labs' $9 million judgment against Ryder Ripps and Jeremy Cahen, stating Yuga failed to prove their NFT collection caused consumer confusion.

2. The court ruled that Yuga's Bored Ape Yacht Club NFTs qualify as 'goods' under US trademark law, setting a legal precedent for NFT collections.

3. Yuga Labs had initially sued Ripps and Cahen in 2022, alleging their 'Ryder Ripps Bored Ape Yacht Club' NFTs infringed on Yuga's trademarks and constituted cybersquatting.

4. A federal court had previously ruled in favor of Yuga in 2023, awarding $1.6 million in damages (later increased to $9 million), but the appeals court sent the case back for further proceedings.

5. Yuga co-founder Greg Solano stated the ruling on NFTs as protectable trademarks is an 'important win for every NFT holder,' while the case will continue in district court.