Burwick Law Defeats Motion to Dismiss on All Five Claims in Xeon Protocol Digital Asset Theft Lawsuit
Burwick Law defeated the defendant's motion to dismiss in Xeon Protocol v. Bray, with the Supreme Court of New York, Monroe County, denying the motion in its entirety on July 16, 2026. All five causes of action, breach of contract, fraud, conversion, unjust enrichment, and breach of fiduciary duty, survive and will proceed toward discovery. Max Burwick argued the motion for the plaintiff. The defendant had argued each claim failed to state a cause of action. The Court rejected every argument: on breach of contract, it held the plaintiff wasn't required to cite a specific contractual provision; on fraud, it found the concealment-based allegations sufficiently particularized under CPLR 3016(b) given the pre-discovery posture of the case; on conversion, it held the allegations, read in the plaintiff's favor, adequately stated a claim; on unjust enrichment, it held the claim was properly pled in the alternative, especially since the defendant himself disputed whether the underlying agreement covered the alleged misappropriation; and on breach of fiduciary duty, it held the claim was adequately alleged and not duplicative of the others. The order concludes simply that the motion to dismiss is denied. This is the second time the Court has rejected an attempt to dismiss the case, after previously rejecting a capacity-to-sue challenge in July 2025.
