Ripple and SEC Filed ‘Summary Judgement’ for Instantaneous Ruling

• SEC and Ripple filed Summary Judgement in New York’s Southern District Court.   

The U.S Securities and Exchange Commission (SEC) and Ripple Labs have called for a federal judge to instantly rule whether Ripple’s XRP sales disobeyed U.S securities laws.  

 On Sept 17, Ripple and SEC filed a separate motion for a summary judgment in New York’s Southern District Court.  

SEC and Ripple, both parties, have called on Judge Analisa Torres to make an instantaneous ruling as to whether Ripple’s native token XRP sales disobeyed U.S securities laws. Ripple has claimed that the SEC ran out of trace and cannot prove XRP sales constitute an “investment contract,” while the SEC has held strong on its beliefs. 

On Sept 17, Brad Garlinghouse, Chief Executive officer of Ripple labs, highlighted in his Twitter post that the filing made it clear that SEC “isn’t interested in applying the laws.”      

Garlinghouse added, “They want to remake it all in an impermissible effort to expand their jurisdiction far beyond the authority granted to them by Congress.”

Stuart Alderoty, general counsel of Ripple, mentioned that “after two years of litigation,” the SEC is “unable to identify any contract for investment” and “cannot satisfy a single prong of the Supreme Court Howey test.” 

In its motion for summary judgment, Ripple noted that it “boils down to an impermissibly open-ended assertion of jurisdiction over any transfer of an asset.”   

The motion also contended that the SEC could not establish that XRP token holders could not “reasonably expect profits” based on Ripple’s efforts as there were no contract obligations between Ripple and XRP token holders.   

Ripple, in its summary, also Elobrate that there can be an “investment contract” without contract any rights granted to the buyer and without any obligation to the issuer.     

Although Ripple, in motion, also stated, “that is not and should not be the law, because without these essential features there is nothing to which the Howey test can sensibly be applied.” 

Jeremy Hogan, U.S Attorney on Sept 17, posted on his Twitter that these concessions are perfect for a summary judgment.” 

According to data from CoinMarketCap, while writing this article XRP native token of Ripple is trading at $0.3461.  

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.

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