Ripple labs, CEO Brad Garlinghouse and Executive Chairman Chris Larsen have filed Motion for Summary Judgment seeking judgment as a matter of law, defense attorney James K Filan shared the latest update.
Filan also stated that these motions were not expected until 19th Sept. and so they were filed early.
Summary judgment is filed when “the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.
The 93-page document mainly includes rebuttals about Ripple and its relation to XRP. Citing instances of how Brad Garlinghouse and Christian Larsen utilized XRP to donate to charities as well as the early XRP Ledger developers to demonstrate that XRP is not used as an investment contract.
Ripple slammed SEC claims that every offer and sale of XRP is the offer and sale of an “investment contract” even if the seller has no connection with Ripple as “wrong and overreaching”.
Ripple’s GC Stuart Alderoty, a known critic of the financial regulator took aim by saying that the SEC is acting outside its legal purview. “The SEC is not looking to apply the law – they are looking to remake the law in the hopes that it can impermissibly expand their jurisdiction.”
Ripple Vs SEC legal War Heading For An Decisive End?
Another interesting observation made by the defendants in the motion was the market forces angle which they claimed proved fatal to the agency’s allegations.
This is because an SEC expert himself agreed that from 2018, the price of XRP correlates more closely with the prices of bitcoin and Ether–that is, the cryptocurrency market as a whole, rather than with any action or statement of Ripple.
Speaking on the latest development, Attorney Jeremy Hogan tweeted that these types of “concessions” are perfect for summary judgment. Hogan also pointed out the regulator failed to get on record that any XRP purchaser heeded Ripple‘s alleged marketing pitch.
“A big problem because it has the burden to prove EVERYTHING here”, the post read.
Crypto YouTuber Ben Armstrong believed that marketing tactics would end up being the focal point of this case and eventually be the trigger point for a settlement.
“Ripple has no reason to settle at this point, but this does make me believe we are heading to the final stages here,” he quipped.