Ripple vs. SEC Lawsuit: Sealed SEC Reply Brief Expected on May 8th
The Ripple vs. SEC lawsuit continues to unfold with the highly anticipated SEC reply brief still under wraps. Popular defence lawyer James Filan revealed that the motions filed by both parties remain sealed as of May 7th.
#XRPCommunity #SECGov v. #Ripple #XRP The @SECGov has filed, under seal, its remedies reply brief & supporting exhibits. These documents are not yet public. Public, redacted versions will be filed by Wednesday, May 8, 2024. Other sealing-related filings will follow. See below. pic.twitter.com/ENnkh6oW9H
— James K. Filan 🇺🇸🇮🇪 (@FilanLaw) May 6, 2024
Public Release on May 8th After Redactions
According to Filan, the public won’t see the full SEC reply brief until May 8th. On that date, a redacted version will be made available after lawyers from both sides meet and confer to identify confidential information that needs to be excluded.
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What to Expect in the SEC Reply Brief?
While the exact contents remain under seal, legal experts anticipate the SEC will counter Ripple’s arguments presented in their opposition brief.
Recall of Key Arguments
- The SEC initially requested a hefty $2 billion penalty against Ripple for allegedly violating securities laws through XRP sales to institutions.
- Judge Analisa Torres ruled in July 2023 that Ripple’s XRP sales might have constituted unregistered securities offerings.
- The SEC also demanded an injunction to prevent future violations by Ripple.
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Ripple’s Rebuttal
Ripple strongly contested the SEC’s claims, arguing that:
- Neither an injunction nor disgorgement (giving up profits) is warranted.
- The SEC failed to demonstrate the need for such measures.
- The proposed civil penalty should be significantly lower, at around $10 million instead of the $876 million requested by the SEC.
Expert Predictions on Timeline and Appeal
The sealed SEC reply brief has sparked discussions among XRP enthusiasts and legal commentators regarding the lawsuit’s potential timeline.
#XRP #XRPCommunity
And now we wait for Judge Torres to rule, somewhere between July – September.
Or maybe the parties settle before that. 😉 Either way, we shall persevere. https://t.co/n8HUFivrGR— Ashley PROSPER (@AshleyPROSPER1) May 6, 2024
- XRP community figure Ashley Prosper predicts a final verdict from Judge Torres between July and September 2024.
- Prospero also acknowledges the possibility of a settlement before a final ruling.
- He anticipates an appeal from one of the parties regardless of the outcome.
Appeal Could Extend Case Beyond 2025
Prosper’s prediction aligns with his earlier speculation about a potential appeal. If either party appeals the final verdict, the SEC vs. Ripple case could drag on past 2025.
- The SEC previously attempted to appeal Judge Torres’ summary judgment decision, which favoured Ripple on some points.
- Judge Torres denied the appeal, requiring the SEC to wait for all issues to be resolved.
The final verdict could see the SEC either accept the decision or attempt to overturn it in the Second Circuit Court of Appeals. Conversely, if the SEC prevails in court, they might opt not to appeal.
Only time will tell how the SEC reply brief will shape the case and what the outcome will be.
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Michael Onche: Crypto aficionado and seasoned analyst. With a keen eye for market trends and a passion for blockchain technology, he deciphers the intricacies of cryptocurrency with precision. Michael’s expertise and insightful content make him a trusted guide for navigating the dynamic world of digital assets.
