Federal Judge Dismisses Hylmen LLC’s Counterclaims in Bitmain Dispute

Federal Judge Dismisses Hylmen LLC’s Counterclaims in Bitmain Dispute

News | June 24, 2025 By:

On Monday, June 16, 2025, Judge Mark Douglas Harpool of the United States District Court for the Western District of Missouri granted Bitmain Technologies Georgia Limited’s motion to dismiss the counterclaims filed by Hylmen, LLC. The ruling addressed a dispute involving the possession, storage, and associated fees for Bitcoin mining equipment.

Bitmain Technologies, a Georgia corporation based in Beijing, China, initiated the lawsuit against Hylmen, a Wyoming limited liability company headquartered in Cheyenne, Wyoming, and other defendants, including Hylmen Transport LLC, Pantheon Financial Management, LLC, and several individuals. The case centered on Hylmen’s counter-petition alleging quantum meruit, unjust enrichment, and constructive contract claims.

According to court documents, Hylmen’s counterclaims stemmed from an agreement with BlockQuarry Corporation, a third party, to inventory, transport, and store Bitcoin mining equipment from Gaffney, South Carolina, to a facility in Missouri owned by Hylmen. Bitmain argued that this express contract between Hylmen and BlockQuarry barred Hylmen from pursuing quasi-contractual claims like quantum meruit and unjust enrichment against Bitmain for the same services.

Judge Harpool’s order agreed with Bitmain’s position, citing Missouri law, which prohibits quantum meruit and unjust enrichment claims when an express contract covers the same subject matter. The court found that Hylmen’s contract with BlockQuarry explicitly included the inventory, disconnection, packaging, removal, and storage of the equipment, precluding Hylmen’s claims against Bitmain.

Additionally, the court dismissed Hylmen’s constructive contract claim, which Bitmain argued was essentially an implied-in-law contract, equivalent to unjust enrichment. The ruling emphasized that Hylmen’s recovery must be based on its contract with BlockQuarry, as no direct contract existed between Hylmen and Bitmain.

Hylmen did not respond to Bitmain’s motion to dismiss, and the court deemed the motion ripe for adjudication. The order granted Bitmain’s request to dismiss all counts of Hylmen’s amended counter-petition, including quantum meruit, unjust enrichment, and constructive contract claims.

Please contact BlockTribune for access to a copy of this filing.