The crucial lawsuit between the US Securities and Exchange Commission (SEC) and Ripple Labs saw another round of court submission. In the latest move, Ripple filed a letter supporting its motion. However, experts suggest that the SEC might win this minor battle but it might not change much trajectory of the case.
Ripple files motion to strike
As per the filings, Ripple filed a letter in further support of its April 22, 2024 motion to strike new expert materials. This submission was in reply to the SEC’s April 29, 2024 opposition to that motion to strike. This move has attracted investor attention, particularly its reply brief to contest the SEC’s opposition brief.
Amid back to back filings, Legal experts have weighed in on the situation. Attorney Jeremy Hogan suggested that the SEC would win the motion. He anticipates that even if the court determines Fox is an “expert,” Ripple will likely be allowed to depose her.
Lawyer Bill Morgan shared a similar sentiment. He predicted that Ripple would lose the motion but the judge would accept that Fox provided some expert evidence and permit Ripple to depose her.
The next big move will be the SEC’s reply brief on remedies which is due on May 6. After which the court will make a decision on penalties and injunctions. This decision could impact Defandant’s operations and expansion plans in the US.
What’s in the filling?
The court filing shows that Ripple argued that Fox’s testimony should be struck. This is because the SEC failed to provide her identity and testimony during remedies-related discovery. The commission went on to dispute the Motion to Dismiss. It claimed that Fox was a summary witness. That’s why her testimony did not need to be disclosed during discovery.
It is important to note that the court could rule on the Motion to Strike at any time. However, the commission must file its remedy-related reply brief by May 6. This brief will act as Ripple’s opposition to the SEC’s opening brief arguing for punitive penalty and injunction.
If we take a look at the crypto market, Ripple’s XRP recorded a marginal surge over the last 24 hours. XRP is trading at an average price of $0.524, at the press time. Its 24 trading volume is down by 20% to stand at $1.13 billion.
