DeVita Sues Block, Wells Fargo, and Others Over Cash App Issues
On Monday, February 23, 2026, Michael A. DeVita filed an amended complaint in the US District Court for the Middle District of Alabama against Block, Inc. (formerly Square, Inc.), Cash App, Cash App Investing LLC, DriveWealth Holdings Inc., Sutton Bancshares, Inc. (aka Sutton Bank), Wells Fargo & Company (aka Wells Fargo Bank, N.A.), and Lincoln Bancorp (aka Lincoln Savings). The complaint alleges damages and seeks injunctive relief. DeVita, proceeding pro se, demands a jury trial.
DeVita claims the defendants engaged in the systematic and unlawful misappropriation of his funds and securities, deceptive marketing practices, and failure to comply with federal and state consumer protection and securities laws. He asserts that the Cash App platform was operated in a manner that invited fraud, concealed unauthorized transactions, and denied him statutory protections.
The complaint brings claims under the Securities Exchange Act of 1934, the Investment Advisers Act of 1940, the Electronic Fund Transfer Act, the Computer Fraud and Abuse Act, the Alabama Deceptive Trade Practices Act, and common law. DeVita seeks compensatory and statutory damages, restitution, injunctive relief, and a forensic accounting of all accounts and transactions at issue.
DeVita asserts federal question jurisdiction under 28 U.S.C. § 1331, as his claims arise under the laws of the United States, including securities and electronic fund transfer regulations. He also claims supplemental jurisdiction over state law claims under 28 U.S.C. § 1367.
The complaint alleges that Block, Inc., owns, operates, and controls the Cash App platform and is a “financial institution” and “service provider” under the Electronic Fund Transfer Act. Cash App Investing LLC, a registered broker-dealer and wholly-owned subsidiary of Block, Inc., is accused of maintaining custody and control of DeVita’s securities and cryptocurrency assets.
DriveWealth Holdings, Inc., is identified as the executing broker for Cash App Investing LLC, processing securities transactions for DeVita’s Cash App Investing accounts. Sutton Bancshares, Wells Fargo & Company, and Lincoln Bancorp, referred to as “Banking Defendants,” are accused of issuing payment instruments for Cash App, holding custodial accounts, and processing electronic fund transfers.
DeVita claims that beginning in 2018, he opened and maintained personal accounts with Cash App and Cash App Investing, depositing funds, making retail purchases, transferring money, and purchasing securities and cryptocurrency. He alleges reliance on the defendants’ representations that his accounts were secure, his assets were protected, and that promotional rewards would be honored.
The complaint details a “10% Bitcoin Boost” program, alleging that promotional disbursements became irregular and deficient, with unauthorized transactions fraudulently inserted into or charged against DeVita’s account. He further claims that Cash App unilaterally altered its statement format, obstructing his ability to audit his account.
DeVita also alleges that Cash App dispatched four separate debit cards to his mailing address without prior notice or authorization, and that he never received the majority of these cards. He claims that the negligent dissemination of multiple active payment instruments created a foreseeable risk of mail interception, theft, and fraud.
The complaint further alleges unauthorized liquidation of securities and cryptocurrency holdings, failure to maintain accurate books and records, and failure to provide adequate educational resources or warnings concerning the risks associated with securities and cryptocurrency trading.
DeVita claims he timely notified the defendants of unauthorized electronic fund transfers, unauthorized securities liquidations, and deficient Bitcoin Boost rewards, but that the defendants failed to conduct reasonable investigations or correct errors.
Please contact BlockTribune for access to a copy of this filing.
