The SEC and Ripple are still going strong in the lawsuit over the legal status of XRP. According to lawyer John Deaton, there is not yet room for both parties to reach a settlement.
SEC Antics Cancel Option For Settlement
Deaton, who represents XRP supporters, made the statement in a recent tweet. He responded to a question about whether a settlement was likely.
Yassin Mobarak, the founder of Dizzer Capital, a digital-focused equity firm, asked if the expert discovery conclusion could lead to both sides deciding to settle if they felt their case wasn’t strong enough. He reasoned that both sides have a good idea of each other’s strengths and weaknesses at this stage.
In response, Deaton said serious settlement negotiations were unlikely, as the SEC had so far failed to submit any documents that court rulings had led her to. The SEC’s non-compliance means it’s likely that Ripple’s legal team doesn’t have the full picture of the SEC’s case strengths and weaknesses.
I stand by what I said a long time ago. There will likely be no serious settlement talks until the SEC is due to hand over the documents. Can both sides evaluate the strengths and weaknesses of their perspective sides? Absolute. How does Ripple evaluate without all the evidence? Is XRP in documents?
— John E Deathon (@JohnEDeaton1) February 20, 2022
Ripple views its case as stronger than the SECs
Meanwhile, Ripple’s legal team shows no indications to consider a settlement. If the comments from Ripple’s General Counsel Stuart Alderoty, as well as CEO Brad Garlinghouse, are to be considered, the fintech company sees itself as having the upper hand. Alderoty recently revealed on Twitter that the unsealed memos just prove that XRP is not a security.
Garlinghouse agreed, adding that with the unsealed memos, “the truth is now for all to read.”
The memos in question revealed that Ripple sought legal advice before starting to finalize its business plan for XRP in 2012. Sent to Jed McCaleb and Jesse Powell, international law firm Perkins Coie LLP advised Ripple not to sell “NewCoin” through what appears to be an ICO if it would result in classification as a security.
According to attorney James K. Filan’s analysis of the latest development, unlocking the memo is generally beneficial to Ripple and its executives.
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Olivia’s interests span the cryptocurrency and NFT and DeFi industries. She remains as fascinated with cryptocurrencies today as she was in 2017 when she first started reading about them. She is actively looking for the latest Crypto related stories. When she’s not writing, she tends to her pet Chihuahua or prepares vegan recipes. Reach me at [email protected]
This post Lawyer Reveals Step That Will Settle XRP vs SEC Lawsuit
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