Yuga Labs Eraser: RR/BAYC Collection Gets Completely Wiped in Settlement

Yuga Labs has settled with artists Ryder Ripps and Jeremy Cahen, ending a long-running legal dispute over the use of Bored Ape Yacht Club branding in rival NFT collections. The agreement resolves a case closely watched across the NFT industry, centered on whether derivative collections framed as artistic critique can use established NFT branding without violating trademark law. In one corner, the BAYC empire. In the other, a pair of artists who apparently thought "fair use" was a get-out-of-lawsuit-free card. Spoiler: it wasn't.

Court filings show the settlement includes a stipulated permanent injunction that places extensive limits on the defendants' activities. Under the terms, Ripps and Cahen are permanently barred from using BAYC-related trademarks, including names, logos, and associated branding, in connection with any goods or services. This applies across NFTs, websites, social media accounts, and other digital or physical products. We're talking about a comprehensive banhammer here—every possible avenue of using BAYC IP has been bricked faster than a rug-puller's Discord server.

The restrictions also extend to the RR/BAYC collection itself, prohibiting any further minting, marketing, sale, or promotion of the NFTs, as well as the collection of royalties tied to them. As part of the settlement, the defendants must transfer any remaining RR/BAYC NFTs, related domain names, and associated assets to Yuga Labs within a defined timeframe. That's right, not only do they have to stop selling the knockoff Apes—they literally have to hand over the goods. Nothing says "game over" quite like transferring your entire inventory to the opposing team.

The agreement also grants Yuga Labs control over key infrastructure, including smart contracts, websites, and social media accounts linked to the collection. Additionally, the defendants are required to remove existing online content that references BAYC branding and certify compliance with the injunction. Together, these measures effectively dismantle the RR/BAYC ecosystem and prevent any future activity tied to the project. Yuga didn't just win—they did a full 360 no-scope takeover. Smart contracts, domains, socials—everything. It's like getting your entire digital life custody battles settled by a judge who definitely took the other side's side.

The lawsuit, filed in 2022, accused the defendants of trademark infringement and cybersquatting after they launched the RR/BAYC collection, which reused imagery from the original BAYC NFTs. The case had progressed through multiple legal stages, including an appeal that set the stage for a potential trial. However, both parties have now confirmed they have reached an agreement to resolve all claims. Financial terms of the settlement were not disclosed. Two years of legal wrangling, an appeal that had everyone gripping their popcorn, and then—settlement. The only thing we know cost money was probably the legal bills. The settlement amount? That's classified tighter than a whale's wallet address.

While the case concludes without a final jury ruling, the outcome reinforces how intellectual property rights are being applied in the NFT space. The scope of the injunction suggests that NFT collections can be treated as commercial goods subject to traditional trademark protections, even when deployed through decentralized infrastructure. It also highlights the limits of using artistic or satirical framing when projects rely on recognizable branding that could create consumer confusion. Turns out you can't just slap "it's art" on a clone collection and expect trademark law to shrug. The judge wasn't buying the "it's a feature not a bug" defense. Web3 or not, when you're building on someone else's brand, you're still playing in their courtroom.

More broadly, the settlement demonstrates that courts are willing to recognize and enforce control over NFT-related infrastructure, including smart contracts and associated digital assets. The message is clear: you can build in the metaverse, but you still can't steal the neighbor's lawn ornaments. IP protections are coming for every corner of the blockchain, and the RR/BAYC situation just became the cautionary tale every degen will pretend they knew about all along.