XRP Lawsuit: US Court Orders Ripple To Consider “Alternative Resolution’”

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As a seasoned crypto investor with over a decade of experience navigating the volatile waters of digital currencies, I must say that the latest development in the Ripple lawsuit has once again brought a whirlwind of emotions to the XRP community. The judge’s request for parties to reconsider an alternative resolution is a double-edged sword – it could either lead to a swift end or prolong the uncertainty surrounding XRP’s future.

XRP Case Update: In the ongoing case of In re Ripple Labs Inc Litigation, the defendants, which include CEO Brad Garlinghouse, Ripple Labs, and XRP II LLC, have petitioned the court for a final judgment on the plaintiff’s class action allegations. They also seek a hold on individual state law claims until resolution. The court has issued an order suggesting that the parties consider an out-of-court settlement as an alternative resolution.

Judge Asks Ripple and Plaintiffs To Reconsider in XRP Lawsuit

In the most recent submission for the “In re Ripple Labs Inc Litigation,” Judge Phyllis Hamilton agreed with both parties regarding their combined request for a final verdict and delay in the XRP lawsuit.

In summary, the judge mandated that both parties should explore an out-of-court settlement option, which involves voluntarily dropping the current individual claim without it affecting future litigation. Importantly, this particular claim can be reintroduced once the appeal for class claims of securities law violations by Ripple, Brad Garlinghouse, and XRP II LLC has been settled.

The court has instructed that if both parties agree with this alternative solution, they should submit a revised proposed order by November 4, 2024. If, however, they do not agree, they must file a notice stating their position by the same date.

Joint Motion to Ripple XRP Class Action Lawsuit

The lead plaintiff, Bradley Sostack, along with Ripple Labs, XRP II, and Brad Garlinghouse, petitioned the court for a final verdict on their class action allegations regarding violations of securities laws. Additionally, they asked the court to postpone any further proceedings related to state securities law violation claims until a resolution is reached on the class action claims.

The attempt to resolve the XRP lawsuit through a settlement conference has failed. The private plaintiffs plan to challenge this court’s ruling on the summary judgment order regarding the class action claims. While the class action allegations encompass all XRP purchases spanning a six-year timeframe, the individual claim pertains specifically to a single purchaser in January 2018.

The preliminary hearing is slated for December 19th, followed by Jury Selection and Trial scheduled for January 21st. Notably, Judge Hamilton has approved orders on four motions concerning the Ripple lawsuit, abiding by the Daubert rule. This decision largely favored the plaintiffs as the court granted their requests.

Ripple SEC Case Also Set for Appeals Hearing

As a researcher reporting on this topic, I’m sharing an update about the ongoing legal battle between Ripple and the U.S. Securatory and Exchange Commission (SEC). Both parties have submitted Form C in the U.S. Second Circuit Court of Appeal. Interestingly, the SEC has revived securities law infringement accusations against Ripple’s executives, Brad Garlinghouse and Chris Larsen.

In response to the ongoing XRP lawsuit, Ripple Labs’ top executives, Brad Garlinghouse and Chris Larsen, have enlisted prominent legal representatives for their appeal case. The U.S. Securities and Exchange Commission has asked the Second Circuit Court to establish January 15, 2025, as the date by which they must submit their main brief outlining their arguments in the appeal process.

This week, the XRP price hovers around the $0.52 mark, even with an optimistic market trend overall. Currently, it’s trading at $0.524, representing a 17% decrease this month. It is worth noting that significant purchasing activity has been observed in derivative markets, with open interest consistently reaching new highs.

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2024-10-30 13:50