One consequence of some of the judge's rulings in the Prosper lawsuit last week is that the suit will probably take a lot longer to finish than the plaintiffs had hoped. The judge ordered a bifurcated trial, with first a trial on whether the notes are "securities" and maybe an appeal on that decision, and then the process starts over and there's more motions, discovery, and then another trial on the other issues. Years.
If the transfer to Prosper Funding LLC is valid, it's entirely possible that there will be effectively no assets by the time the whole thing reaches finality. All notes issued before the transfer (whether or not validly transfered) may have long been paid off, and the only notes left may be ones issued after Prosper Funding was set up which probably have a better claim to not being assets of Prosper Marketplace Inc., which Prosper may be able to keep the plaintiffs' lawyers from getting their hands on them if the plaintiffs win.