--- title: "GT Biopharma sued by four convertible note holders over undelivered" url: "https://aibio.space/news/gt-biopharma-sued-four-convertible-note-holders-undelivered-conversion/" publisher: "aibio.space (Biotech Investor Relations News)" date: "2026-08-14" section: "Legal" tickers: "NASDAQ:GTBP" source: "https://www.sec.gov/Archives/edgar/data/109657/000149315226037988/form10-q.htm" summary: "GT Biopharma is the only defendant named in New York suits by Z-One, Silberfein, DiPietro and the Werthman Trust. Z-One's claims were dismissed and appeale" --- By the aibio.space news desk. Sources - [GT Biopharma 10-Q for the quarter ended June 30, 2026 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/109657/000149315226037988/form10-q.htm) - [GT Biopharma prospectus (424B3) filed October 20, 2026 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/109657/000149315226047792/form424b3.htm) [GTBP](https://aibio.space/companies/gt-biopharma/) 2026-08-14 # GT Biopharma sued by four convertible note holders over undelivered conversion shares Tickers [GTBP](https://aibio.space/companies/gt-biopharma/) GT Biopharma is the only defendant named in New York suits by Z-One, Silberfein, DiPietro and the Werthman Trust. Z-One's claims were dismissed and appealed. The other three are in settlement talks. ## Key facts - **Company**: GT Biopharma, Inc. (NASDAQ: GTBP) - **News type**: Legal - **Primary source**: [GT Biopharma 10-Q for the quarter ended June 30, 2026 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/109657/000149315226037988/form10-q.htm) *The Washington Monument and the city beyond. Photo: Carol M Highsmith, CC0, via rawpixel. The picture shows the field, not the companies named.* GT Biopharma, Inc. (Nasdaq: [GTBP](https://aibio.space/companies/gt-biopharma/)) is the only named defendant in four New York lawsuits brought by holders of its convertible notes, according to its [10-Q filed August 14, 2026](https://www.sec.gov/Archives/edgar/data/109657/000149315226037988/form10-q.htm). The holders say the company failed to deliver shares due on conversion of their notes; three of the four suits say those shares were due in 2021. The plaintiffs are Z-One, LLC, Coby Silberfein, Justin DiPietro and the Phillip Werthman Trust. All four cases are in the Supreme Court of the State of New York, County of New York. The 10-Q gives no case numbers. The 10-Q names no individual, underwriter or other entity as a defendant in these suits. GT Biopharma is the defendant in each. The filing also describes a related dispute with TWF Global, LLC, a note holder that first sued the company in California in 2023, and an arbitration the company brought against its former Chief Financial Officer, Manu Ohri. ## The case Z-One filed a summons with notice on February 17, 2025 and a complaint on June 25, 2025. It alleges it holds, originally or by assignment, a convertible note with a principal amount of $150,000, that the company breached the note by failing to deliver conversion shares, and that the company owes it damages in excess of $500,000. Silberfein and DiPietro each filed a summons with notice on July 8, 2025, and the Werthman Trust filed on July 9, 2025. Each seeks damages for breach of a securities purchase agreement and convertible note. The summonses described notes of $100,000. Each plaintiff served a complaint on September 2, 2025, and Silberfein's complaint now describes a note of $150,000. Each plaintiff alleges the company owes damages in excess of $500,000 and seeks specific performance and damages. ## Defendants The company is the sole defendant named in the filing for each suit. The 10-Q does not say that any director, officer or other party is a defendant. The only individual the legal section names is Mr. Ohri, and he is the respondent in an arbitration the company started, not a defendant in these suits. ## Where it stands On February 27, 2026, the court granted the company's motion to dismiss the Z-One complaint in its entirety and with prejudice. Z-One filed a notice of appeal on March 26, 2026 and has until September 25, 2026 to perfect it. For the Silberfein, DiPietro and Werthman cases, the company says it "has reached a settlement in principle with the Plaintiffs and is finalizing the terms." If any of the suits goes forward, the company says it will seek dismissal. The 10-Q does not give the settlement amounts. The company's later filings, through a [resale prospectus filed October 20, 2026](https://www.sec.gov/Archives/edgar/data/109657/000149315226047792/form424b3.htm), do not update these cases. ## Related matters TWF filed a complaint in California Superior Court for Los Angeles County on May 24, 2023, alleging it held two convertible promissory notes and that shares due on conversion in February 2021 were not delivered. The company moved to dismiss for improper forum, and TWF voluntarily dismissed without prejudice. The company then filed an interpleader action in New York asking the court to decide whether the shares should be registered to TWF or Z-One. On November 14, 2024, the court found the company's motion for entry of default moot because Z-One and TWF had settled with each other, and ordered the case dismissed. On July 22, 2024, the company filed an American Arbitration Association demand against Mr. Ohri, seeking a declaration that his termination was for cause plus damages. He denied the claims and counterclaimed on September 3, 2024. After mediation on March 31, 2026, the 10-Q says the arbitration "was resolved amicably without further litigation." ## Why it matters to shareholders The 10-Q says the company has no current or pending litigation of any significance beyond these matters. It does not report an accrual or estimated loss for them. The claims arrive as the company reports going concern doubt, a net loss of about $7.4 million for the six months ended June 30, 2026, and cash and cash equivalents of $4,960,000 at that date. [Report an error](https://aibio.space/reputation/#correction) ## Companies in this story GTBP GT Biopharma, Inc. 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Cite as: aibio.space, "GT Biopharma sued by four convertible note holders over undelivered", 2026-08-14, https://aibio.space/news/gt-biopharma-sued-four-convertible-note-holders-undelivered-conversion/