David Geffen Countersues Justin Sun Over $78M Sculpture, Calls Lawsuit a "Sham"

David Geffen Countersues Justin Sun Over $78M Sculpture Dispute, Alleges Fraud

The legal feud between billionaire media mogul David Geffen and crypto entrepreneur Justin Sun has intensified, as Geffen filed a 100-page countersuit on April 16, accusing Sun of fraud and unethical business conduct in a $78 million art ownership dispute.

At the heart of the controversy is “Le Nez,” a sculpture by the late Swiss artist Alberto Giacometti, which Sun purchased at a 2021 Sotheby’s auction with the help of former art adviser Xiong Zihan Sydney. Sun had filed a lawsuit in February 2024, claiming that Xiong stole the sculpture and sold it to Geffen in exchange for $65 million in artwork and $10.5 million in cash.

However, Geffen’s countersuit paints a very different picture.

“Sun’s claims concerning Le Nez are utterly without merit and constitute a bad-faith, tortious attempt to interfere with Geffen’s ownership,” the filing reads.

Geffen, a renowned collector and former head of DreamWorks SKG, alleges that Sun and Xiong concocted the lawsuit after failing to resell two high-value paintings they had received in the sculpture deal. According to the counterclaim, Sun remained in possession of both the paintings and the money, which are allegedly being held by art dealers.

Alberto Giacometti’s Le Nez. Source: Fondation Giacomett

Key Points of Dispute:

Alleged Theft: Sun claims that Xiong stole the sculpture. Geffen disputes this, asserting that the sale was legitimate and properly executed.

Ownership Validity: Geffen insists he acquired Le Nez in good faith and that Sun’s lawsuit is an attempt to reclaim the artwork amid financial difficulties.

Motivation: The countersuit suggests Sun was eager to offload the sculpture as the crypto market crashed in 2022–2023, and his platforms Poloniex and HTX faced high-profile security breaches, resulting in losses of hundreds of millions.

Character Allegations: Geffen accuses Sun of a pattern of misconduct, including being sued by former employees for unethical practices and making false claims in previous lawsuits.

Legal Rebuttal from Sun's Team

Sun’s attorney, William Charron, responded to the countersuit in a statement to ArtNet on April 17, firmly defending Sun’s position.

“Ms. Xiong confessed to her theft, was arrested in China, and is in detention in China today,” said Charron.

“In spite of these facts, Mr. Geffen goes all-in on the idea that Ms. Xiong was not a thief… Mr. Geffen’s pleading is extremely misguided.”

Charron added that Sun’s legal team is looking forward to litigating the case and recovering the sculpture.

Publicity Stunts and Art World Antics

Sun is no stranger to headline-grabbing moves in the art world. In November 2023, he purchased Maurizio Cattelan’s infamous “Comedian” — a banana duct-taped to a wall — for $6.2 million, and subsequently ate the banana at a press conference, turning the moment into a viral publicity stunt.

The outcome of the legal battle could have wide-ranging implications for the intersection of crypto wealth, fine art ownership, and cross-border asset disputes. With both sides firmly entrenched, the courtroom drama over Le Nez is far from over.