Terrorism Charge: Alabama court dismisses claims against Binance
A U.S. federal court in Alabama has dismissed all claims against Binance in a lawsuit alleging violations of the Anti-Terrorism Act.
Binance, a cryptocurrency exchange, announced this in a statement on Thursday, describing it as its “second major legal victory in an ATA matter within one week”, following its victory in the Southern District of New York.
In a detailed 19-page ruling, the court found the plaintiffs’ complaint legally and factually deficient.
The judge described the filing as a “shotgun pleading”. Binance noted that the complaint failed to clearly specify the claims and improperly grouped all defendants together without distinguishing individual conduct or liability.
The ruling also pointed out that the plaintiffs did not meet the basic pleading standard to provide a “short and plain statement” of their claims.
Following the ruling, the court granted the plaintiffs until April 10 to file an amended complaint addressing the deficiencies the court identified.
However, the judge warned that failure to adequately address these issues would result in dismissal of the entire case.
“This decision reinforces our unwavering commitment to protecting Binance and our community from unsubstantiated and bad-faith lawsuits,” said Eleanor Hughes, Binance’s general counsel.
The latest court decision came after Binance’s legal victory in New York, where the court similarly rejected allegations that the company assisted, participated in, or conspired with terrorists.
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