Amid the legal battle between Ripple Labs and the United States Securities and Exchange Commission (SEC) regarding XRP’s non-security status, Bill Morgan, a well-known pro-XRP lawyer has shed his take on the lawsuit.
War Over The Non-Security Status Of XRP Has Ended
On Thursday, January 11, Morgan took to the social media platform X (formerly Twitter) to express his belief in the legal dispute between the two firms. In the post, the pro-XRP lawyer declared that the battle between Ripple and the SEC over XRP’s non-security status has come to an end.
The X post came in response to the commission’s latest motion in the ongoing case. According to Morgan, now that the war is over, “the battle for post-complaint ODL sales since December 2020 has just started.”
Morgan’s X post was accompanied by a screenshot of a section in the SEC’s most recent filing. It noted that the agency detailed its attempt to file an interlocutory appeal at an earlier stage of the lawsuit.
As previously reported, the regulatory watchdog submitted a new motion yesterday. The motion requires that Ripple turn over two crucial papers and reply to an interrogation.
The documents that the SEC requests pertain to Ripple’s audited financial statement from 2022 to 2023 and the firm’s post-complaint contract controlling its institutional sales of XRP.
The attorneys for the SEC also stated in their most recent motion that they were requesting permission to launch an interlocutory appeal to contest Judge Analisa Torres’ decision that some of Ripple’s offerings of the digital asset and sales were not securities.
This comes after Judge Torres had specifically declared that Ripple’s programmatic sales and other XRP distributions were not against the law. In addition, she discovered that contrary to what the commission said, the token is not a security in and of itself.
So far, Morgan has stressed that the members of the community might witness a fierce legal tussle during the remedies phase. This is due to the objection of all the SEC’s requests for documents and interrogatories by Ripple Labs.
Deadline For Full Discovery Phase
Originally, the recent filings by the agency concentrated on sales of the token to institutional investors. These are the first official motions made by Ripple and the SEC regarding the lawsuit remedies phase.
The SEC vs. Ripple lawsuit’s remedies aspect is presently in the discovery phase. By February 12, both Ripple and the SEC are expected to conclude all remedy-related discoveries.
After the submission of remedy-related documents and a reply brief from the SEC, Judge Torres will assess the adequate penalty for Ripple’s sale of XRP to institutional investors.
The SEC is aiming for the $770 million that was realized from XRP sales to institutions. The required statements will provide the regulator with information about the cost and earnings related to these institutional sales.
