PleasrDAO, a decentralized autonomous organization known for its unique collection of digital and physical art, has filed a lawsuit against Martin Shkreli, infamously known as the ‘pharma bro,’ over allegations that Shkreli live-streamed a one-of-a-kind Wu-Tang Clan album owned by the DAO.
Details of the Lawsuit
The lawsuit, filed in response to Shkreli hosting an X spaces event on June 9, accuses him of causing “significant monetary and irreparable harm” to PleasrDAO by live-streaming the album Once Upon a Time in Shaolin. PleasrDAO acquired this album in 2021 for approximately $4.75 million during an asset forfeiture auction.
Accusations and Complaints
PleasrDAO’s complaint alleges that Shkreli improperly retained copies of the album’s data and files, despite the album being marketed and sold as the sole existing copy. The complaint states:
“The Album was supposed to constitute the sole existing copy of the record, music, data and files, and packaging. It now appears, however, that Shkreli improperly retained copies of the data and files at the time of the forfeiture and has released and/or intends to release them to the public.”
PleasrDAO claims that these actions by Shkreli could cause significant monetary and irreparable harm, violating the forfeiture order and common law.
Shkreli has denounced the lawsuit, asserting that members of PleasrDAO do not support the litigation and were not given the opportunity to vote on it.
Background on the Wu-Tang Clan Album
The Wu-Tang Clan created Once Upon a Time in Shaolin as a unique piece of art to counter the digitization and commercialization of music. They intended to restore music to the realm of high art.
Shkreli initially purchased the album in 2015 for $2 million, making it one of his most prized possessions. However, following his conviction for securities fraud in 2018, Shkreli was forced to surrender the album to authorities, leading to its acquisition by PleasrDAO.
PleasrDAO’s Acquisition
In 2021, PleasrDAO acquired the album during an asset forfeiture auction for $4.75 million, paid in two separate transactions. The DAO, which shares ownership among its members and donates to charitable causes, has now accused Shkreli of undermining the album’s uniqueness and value by allegedly retaining and disseminating its contents.
The lawsuit against Martin Shkreli by PleasrDAO underscores the complexities surrounding ownership and the dissemination of unique art pieces in the digital age. As PleasrDAO seeks legal recourse for the alleged harm caused by Shkreli’s actions, the outcome of this case could have broader implications for the handling of unique digital and physical assets in the future.
