According to CoinMeta, on October 2, the Commercial Court of Texas, USA, ruled to dismiss a derivative lawsuit filed by shareholder Gary Guillaume against Coinbase's directors, on the grounds that the shareholder did not submit a written request to the board of directors in advance. The court stated that this dismissal does not constitute an adjudication on the merits of the case, and no ruling was made regarding the alleged improper conduct. Although the substantive claims presumed the application of Delaware law, the jurisdiction for prosecution applied Texas law. Coinbase's CEO, Brian Armstrong, praised this ruling on October 9, stating that it encourages more companies to register in Texas.