The United States District Court for the Northern District of California granted the Maker Ecosystem Growth Foundation’s motion to transfer the class action against the company to arbitration. This is stated in the docket.
The motion followed a lawsuit by Peter Johnson, a user of the DeFi project MakerDAO. He, the company says, violated the terms of the arbitration agreement he had accepted when joining the service in 2018.
Under the agreement, disputes between Maker and customers are to be settled by arbitration. The district court took this into account and cancelled the hearing on the suit, scheduled for October 2.
Earlier on March 12, attackers exploited a flaw in the Auction Keeper system amid a rout in Ethereum prices, siphoning more than $8 million from MakerDAO.
In April, investors accused the Maker Foundation, Maker Ecosystem Growth Foundation, and the Dai Foundation of knowingly misrepresenting the risks of owning a CDP (collateralised debt positions). The plaintiff, Peter Johnson, sought a total of $28 million from the defendants.
Later, Maker (MKR) voted against compensating the losses to collateral holders in MakerDAO, liquidated during the March market crash.
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