Ripple Labs vs SEC: New SEC moves could lead to end of XRP lawsuit
The legal battle between the SEC and Ripple Labs has entered the summary judgment phase after both sides filed their petitions. Defense attorney James Filan informed the community of these filings with his latest posts on Twitter.
According to Filan, these movements are not expected to be listed before Monday, which is September 19.
The last man standing
This submission of Actions for Summary Judgment has caused a lot of discussion online in the crypto community. With this, the community believes the lawsuit is coming to an end. However, it is worth noting that both submissions have many notable points.
In its latest motion, the SEC argues that the key issue here is whether the defendants are offering and selling XRP as "security." Interestingly, under the Securities Act, the term "security" includes "investment contracts." Here, "Investment contract means an investment in a joint venture based on a reasonable expectation of returns from ... the efforts of others."
The SEC expects the Court to issue summary judgments on several grounds, and so does Ripple Labs. Speaking after the application was filed, CEO Brad Garlinghouse tweeted:
“Today's filing makes clear that the SEC is not interested in law enforcement. They want to redo everything in an unpermissible attempt to extend their jurisdiction far beyond the authority Congress has granted them. "
Officially, the respondent went on to state that "The Court should give an aggregate verdict in favor of the defendants (Ripple)".
What was said?
Attorney Jeremy Hogan was one of many who were interested in the SEC's offer. Hogan claims that “the SEC has some big problems,” which points to a win for Ripple based on his initial analysis.
He claimed that the SEC failed to "record" that any XRP buyers heard Ripple's marketing pitch. According to Hogan, this factor ultimately has "the burden of proving EVERYTHING here". The analyst also noted that one of the SEC experts agreed that most of the changes in the price of XRP are due to market forces, not Ripple.
We have previously seen several third parties submit respective SEC requests to seal and review Ripple. This leads readers to believe that the case will drag on even longer. However, the latest introductions seem to have quelled those rumors to be true.
Sep 18, 2022