⚖ Oral Arguments, with Context

The Ninth Circuit considers whether investors in LifeVoxel adequately alleged economic loss and loss causation from securities fraud. The investors bought SAFE notes, contracts that may convert into stock after a future sale, public offering, or direct listing. They allege that LifeVoxel misrepresented its finances, ownership, and planned use of their money. The district court had already found those allegations sufficient on several other elements, but it dismissed the federal claims because the investors did not plausibly connect the statements to an impossible conversion event. The appeal asks whether a measurable decline in the notes' present value can be enough even if conversion remains possible.

LifeVoxel Virginia SPV, LLC v. LifeVoxel.AI, Inc. (No. 25-613) — U.S. Court of Appeals for the Ninth Circuit, argued July 30, 2026.