Trial resumes as Craig Wright fails to honour 500,000 BTC payout 

Court documents reveal Dave Kleiman's representatives have been informed that Wright can "no longer finance" their original settlement, as new trial date is set for March 2020

The latest court documents in the high-profile Kleiman vs Wright trial claim that Craig Wright has pulled out of his previous commitment to pay 500,000 Bitcoin to the Kleiman estate.

Wright, who claims to be Satoshi Nakamoto, is the defendant in a lengthy legal dispute with representatives of the late Dave Kleiman. The pair are thought to have jointly played a significant role in the early creation of the Bitcoin protocol.

Acting on behalf of Kleiman’s estate, the Plaintiffs allege that a significant sum of BTC was misappropriated by Wright after Kleiman’s death.

Trial resumes amid Wright’s failure to pay

Wright had previously requested that the litigation process of this landmark legal dispute be paused so both parties could focus on settling the dispute in good faith. This included Wright agreeing to hand over 500,000 BTC to the Kleiman estate.

Documents show that this process was facilitated with four in-person meetings and numerous conference calls, which eventually saw a cessation of active litigation against Wright.

Despite the settlement being initiated by the defendant and reaching what appeared to be an amicable conclusion, the process was halted indefinitely on October 30.

In the court document, the Plaintiffs state: “On October 30, without any advance notice, Plaintiffs were informed Craig could no longer finance the settlement and was ‘breaking’ the non-binding settlement agreement.”

As a result, the next trial date has been rescheduled for March 30, 2020.

Australian witness called for deposition

Kleiman’s representatives have now requested special dispensation from the US District Court of Southern Florida to call on James Wilson to give time-critical evidence against Wright.

Wilson, of Sydney, Australia, previously acted as CFO of several of Wright’s Australian interests during the period that Dave Kleiman was still alive and active in the early development of Bitcoin.

Kleiman’s representatives believe that this period, between 2012 – 2013, is crucial in determining whether Wright sold interests in his companies to Kleiman in exchange for the BTC in dispute.

To avoid significant legal costs involved with seeking deposition from an overseas witness, the Plaintiffs have requested that Wilson give evidence on November 8 while he is visiting the US, in Washington DC.

Wright’s lawyers have objected to this request, citing that parties must be given a 14-day notice for an out-of-state deposition. If the court fails to rule in Kleiman’s favour, Wilson could still provide his deposition via video conference at an agreed later date.

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