MediaLab.ai Faces $8 Million Lawsuit Over Imgur Acquisition

April 27, 2023, 9:21 PM UTC

Former owners of Imgur Inc. sued MediaLab.ai Inc., claiming it’s wrongfully holding back $8 million in post-deal payments after buying the online photo-hosting platform, a repository of popular memes and viral images favored by Reddit users.

The lawsuit accuses MediaLab of breaching the sale agreement by blocking the release of escrowed funds to the ex-investors, who brought the case through litigation representative Fortis Advisors LLC. MediaLab—a holding company based in Santa Monica, Calif.—owns a portfolio of digital brands including Kik, Genius, and Whisper.

The pretext for the maneuver was a bogus claim that Imgur duped its acquirer into the 2021 ...

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