Case 2:25-cv-00978-APG-BNW Document 105 Filed 10/14/25 Page 22 of 27
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1983). I “view the pleading under attack in the light most favorable to the pleader.” Cardinale v. La Petite Acad., Inc. , 207 F. Supp. 2d 1158, 1162 (D. Nev. 2002).
A. I deny the motion to strike the defendants’ denials that Crypto is a DCM on which sports event contracts are listed.
Crypto argues that I should strike the defendants’ denials in their answer that Crypto is a DCM and that sports contracts are traded on it. Crypto argues that these facts can be verified through its filings with the CFTC and thus are not subject to reasonable dispute. The defendants respond that their denials are not proper subjects for a motion to strike and the way for Crypto to test the defendants’ denials is through dispositive motions after discovery. The defendants also argue that they should not have to take Crypto’s word for it that it is a DCM properly listing sports event contracts. I deny this portion of Crypto’s motion because the defendants’ denials are not insufficient defenses, immaterial, or impertinent. Crypto’s preemption argument fails if it is not a DCM or did not properly list event contracts subject to the CFTC’s exclusive jurisdiction. See Quintara Biosciences , 149 F.4th at 1089 (explaining that immaterial means the matter “has no essential or important relationship to the claim for relief or the defenses being pleaded,” and impertinent means “statements that do not pertain, and are not necessary, to the issues in question” (simplified)). The denials are not redundant or scandalous, and Crypto does not contend that they are. Consequently, I deny this portion of the motion to strike. B. I deny the motion to strike affirmative defense one. The defendants’ first affirmative defense alleges that Crypto’s complaint fails to state a claim. ECF No. 38 at 16. Although failure to state a claim is merely a denial of Crypto’s ability to state its claim, Federal Rule of Civil Procedure 12(h)(2)(A) provides that failure to state a claim may be raised in the answer. I therefore deny the motion to strike this defense.
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