Ripple and its legal battle have been a roller coaster of sorts. With no end meeting for the judgement to prevail. The arguments extend with many dates as the SEC fails to gather strong evidence against Ripple. Moreover, the “Deliberative Process Privilege”. What protects the information explaining the decision taken by the government does not need disclosure to the third party. Left setbacks for Ripple.
In a recent update, Ripple has sought an extension of time till October 08 in order to reply to the motion filed by the SEC. The agency wanted Ripple to research and produce all video recordings where Gardlinghouse, Larsen and other key employees discuss the lawsuit.
However, Judge Torres grants amici to John Deaton, a lawyer and founder of Crypto-Law.us, moreover, an XRP proponent. As a result, Deaton can now advise the legal issue on behalf of mobile individuals but cannot intervene in the proceedings. This is considered as one of the biggest victories for Ripple that could reduce the path towards success.
On the flip side, Legal Briefs reported that the SEC’s Division of Corporation Finance. A division that operates clearly from the division of enforcement, wrote a memorandum. The memorandum contained a legal analysis of XRP. The memorandum was circulated to certain individuals at the SEC on the day before Bill Hinman gave a speech. According to the speech, the ether is not a security.
Consecutively, since it is a memorandum, it is an official statement. This can give impetus to court hearings. From the memorandum, one of the three decisions can be made for Ripple. Which are as follows:
- XRP is no longer a security.
- XRP is a security, which questions why the investigation did not happen until nine months later. In the lawsuit more than three years later.
- The XRP status is ambiguous. This will benefit Ripple, on the reasons the SEC is unwilling to hand it over.
Summing up, the sail has been rough for Ripple VS SEC. Additionally, the SEC has filed a petition to compel Ripple. That it has to turn over the recordings of its meetings. The light at the end of the tunnel is far from visible. Hopefully the memorandum could ease the situations in the legal battle.
