Speculations and Discussions Continue as Ripple Wins Summary Judgment
- Carleton Nitzsche
- July 18, 2023
- News, Crypto, Cryptonews
- Crypto, John Deaton, Ripple, SEC
- 0 Comments
The Ripple-SEC legal battle continues with speculation on the possibility of an appeal, generating interest and implications for the broader crypto industry.
- Ripple’s legal battle against the SEC sparks speculation and discussion following a recent summary judgment victory.
- CryptoLaw founder John Deaton, Attorney Bill Morgan, and former SEC regional director Marc Fagel engage in a Twitter conversation regarding the possibility of an appeal.
- Deaton suggests Judge Torres would likely decline the SEC’s appeal request, while Fagel and Morgan argue that both sides are likely to appeal the ruling.
- The outcome of the lawsuit remains uncertain, and the implications extend beyond Ripple, impacting the SEC’s cases against crypto exchanges.
After securing a victory in the recently-released summary judgment, Ripple’s legal battle against the SEC continues to attract speculations and discussions. CryptoLaw founder John Deaton, Attorney Bill Morgan, and former SEC regional director Marc Fagel recently engaged in a Twitter correspondence regarding the possibility of an appeal on the case.
Tomorrow @CryptoLawUS TV at 3 pm EST will go over the @Ripple XRP decision with @NYcryptolawyer, the appeal process, including the chances of an interlocutory appeal (the SEC has no right to one), likelihood of reversal, and an issue regarding an appeal that no one has talked… https://t.co/Vky6eDgGJn
— John E Deaton (@JohnEDeaton1) July 18, 2023
Deaton and Others Argue Whether Judge Torres Would Decline SEC’s Appellate
Deaton’s tweet on July 16 raised speculation about whether US District Judge Torres would approve an appeal request from the SEC. An XRP enthusiast then claimed that Deaton stated none of the parties could appeal the judge’s ruling until the final court resolution. This statement led to a conversation between Deaton, Fagel, and Morgan.
Fagel responded to Deaton, asserting that although it is up to the court to approve an appeal, either party can seek an immediate appeal. In clarification, Deaton explained that he never implied an appeal couldn’t happen before a jury verdict. He stated that while both parties have the right to appeal, it won’t be immediate. Deaton further explained that either party could ask Judge Torres to approve their appeal request before pursuing acceptance from the second circuit. However, Deaton expressed his belief that Judge Torres would not grant the SEC’s request.
Deaton explained that Judge Torres based her ruling on a strict application of the Howey factors, as requested in the SEC’s summary judgment. He stated that the judge applied the non-controversial 76-year-old well-settled Supreme Court test to the case’s facts. According to Deaton, either party may submit a written application to persuade the judge, but he sees no point in trying to do so.
Exchange of Views: Will Ripple Appeal Judge Torres’ Decision?
Deaton expressed his expectation that Ripple would counter any motion to appeal Judge Torres’ decision, and he would be surprised if the company agreed to an interlocutory appeal for the ODL sales. In response, Fagel stated that both sides would appeal Judge Torres’ ruling, with the SEC having a better chance of reversing the judgment on the “programmatic sales.”
This exchange of views elicited responses from other XRP enthusiasts. Bill Morgan supported Fagel’s opinion, agreeing that both sides would appeal. He speculated that the only thing preventing an appeal would be a settlement, although he also believed that a settlement was unlikely. Fagel argued that the SEC wouldn’t accept a settlement because it wouldn’t remove the ruling from the books, and Judge Torres’ decision has a significant impact on the SEC’s cases against crypto exchanges in other courts.
The outcome of the Ripple versus SEC lawsuit continues to generate speculation and interest. While Deaton believes that Judge Torres would decline the SEC’s appeal request, Fagel and Morgan argue that both sides are likely to appeal the ruling. Whether Ripple will counter the motion to appeal and whether a settlement will be reached remain to be seen. The implications of this case extend beyond Ripple, as it affects the SEC’s cases against crypto exchanges as well.