SEC vs Ripple: The briefing schedule deadline is set. What happens next?
- XRP community speculates whether the SEC’s pending case against Ripple would result in a settlement or dismissal
- The speculation comes as a District Court Judge sets 9 November as the deadline for the briefing schedule
The US Securities and Exchange Commission’s (SEC) case against Ripple continues to move forward. This was despite the regulatory body’s consecutive losses against the crypto firm. In the latest development, Judge Analisa Torres has given a briefing schedule deadline to both parties.
Still battling it out…
With the deadline set for 9 November 2023, both parties are required to “jointly propose a briefing schedule with regard to remedies, or, if the parties cannot agree, shall jointly request that the Court set a briefing schedule.”
The fresh order came a day after the court officially dropped all charges against Ripple’s Brad Garlinghouse and Chris Larsen. Judge Torres approved SEC’s move to dismiss charges against them for their alleged role in “aiding and abetting” the institutional sale of XRP.
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This officially vindicated Larsen and Garlinghouse of any wrongdoings in terms of securities law violations. Moreover, this also eliminated the need for holding a trial. Note that the trial was initially set to take place during the July 2023 verdict.
With the executives’ case dissolved, the case against the company’s role in the institutional sale of XRP, which the court deemed formed an investment contract, still stands. And, today’s (24 October) court order was pertaining to the action Ripple and SEC would take with regard to this matter. The order has some of the community members speculating a settlement, while some expressed opposing views and claimed a dismissal would be “even better“.
The court document shared by James K Filan – former Federal Prosecutor – read,
“with respect to the pending issue in the case what remedies are proper against Ripple for its Section 5 violations with respect to its Institutional Sales of XRP and respectfully request until November 9, 2023”
Loss against Ripple, win against LBRY
While the commission has seen nothing but utter defeat against Ripple, the situation seems to be quite the contrary in its case against LBRY. In the latest development, the distributed storage network for user-created media has voluntarily dismissed its appeal.
The September 2023 appeal was made with regard to the First Circuit Court’s verdict. This imposed a fine on the platform and barred it from participating in future offerings. The final judgement was made in the SEC’s case that claimed that the platform had violated securities law.
Notably, the case has even resulted in the platform winding down its business last week. In a blog post, LBRY said,
“LBRY Inc. has debts to the SEC, its legal team, and a private debtor that it cannot pay. Its assets, including Odysee, are being placed into receivership. As of this post, all LBRY executives, employees, and board members have resigned. All will be doing what is required to satisfy any outstanding legal requirements, but no more.”