The lawsuit claims Datavault overstated the value of collaborations with Burke Products, Scilex Holding Company, and Nature's Miracle Holding Inc. Plaintiffs contend the company also concealed ties to convicted felon Edward Withrow III and failed to disclose prior SEC charges against CEO Nathaniel T. Bradley, exposing investors to undisclosed reputational risks. These concerns were compounded by an October 2025 report from Wolfpack Research, which questioned the legitimacy of the company’s claims regarding quantum computing, Web3, and data monetization.
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Datavault AI Faces Class Action Lawsuit Over Alleged Misconduct
Investors who purchased Datavault AI securities between September 4, 2024, and October 30, 2025, are being recruited for a class action lawsuit led by Berger Montague. The litigation follows allegations that the Philadelphia-based company misled shareholders regarding the economic viability of its AI partnerships and its internal trading volumes.
Market reaction to the allegations was swift. Following the release of the Wolfpack report, Datavault shares dropped 19%, falling from $2.52 to $2.03 per share on October 31, 2025. Investors impacted by this decline have until October 5, 2026, to apply for lead plaintiff status. Berger Montague, a firm with a history of complex securities litigation, is managing the case and has directed potential claimants to contact attorneys Andrew Abramowitz or Caitlin Adorni for further legal guidance.
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