In a new chapter in the case between the U.S. Securities and Exchange Commission (SEC) in the Southern District Court of New York and Ripple Labs, Judge Analisa Torres rejected an arbitration agreement between the parties. The decision, which depends on the request, is “procedurally inappropriate.” This temporarily puts the brakes on Ripple and SC’s efforts to resolve pending aspects of the case.
The incident, which began in December 2020, faced the SEC and ripples of unregistered sales of XRP as value. In July 2023, Judge Analisa Torres rejected discussions between the Stock Exchange and Value Committee, where Ripple provided an unregistered title representing the company’s victory. However, he also found that institutional sales of XRP had been fined USD 125 million for violating securities laws. Finally, in March, Ripple announced that the SEC would withdraw the lawsuit under new directions.
The dispute was resolved through the May agreement, with Ripple pledging to pay US$50 million of the original fine. In fact, the parties have asked the court to override an order that violates the securities law and prohibits reducing sanctions to the amount proposed by the company. However, Judge Torres considers the application inappropriate and points out that it must have been filed under Rule 60 of the Federal Code of Civil Procedure to allow only changes to the final judgment in “exceptional circumstances.” This decision leaves Ripple and SEC looking for a new strategy to delay the final resolution of the case and close it.
Ripple’s legal director, Stuart Aldeoty, shared the judge’s order in his X profile and pointed it out. “Nothing changes Ripple’s victory, that XRP is not worth it.”. He explained that the issue is limited to procedural issues related to the withdrawal of the cross appeal, and that the matter will resume before the court as it ensures that both parties are in line with the resolution of the case.
What will continue with Ripple and SEC?
Though Judge Analisa Torres’ denial of the joint movement indicates a procedural obstacle; Will not change the progress of Ripple’s litigation. However, the rejection of applications to override court orders, set a US$50 million unit fine and reconsider its strategy is rethinking its strategy to close litigation, which is very important to US cryptocurrency regulations.
Therefore, both parties can Reformulate your proposal or negotiate a broader agreement that takes into account both sanctions and restrictions.with the aim of clear closing of cases. The lawsuit is still open, but court orders restricting the institutional sales of XRP continue to limit Ripple’s operational flexibility. However, we retain the freedom to operate on the exchange thanks to a 2023 ruling that exempts our planned sales.
The truth is that the XRP community is paying attention to updates and denial does not change the status of cryptographic effects as non-value. Delays can affect investors’ trust and their prices. Finally, the user believes that the XRP value will be triggered as soon as the case is finished. According to data from TrainingView, at the time of writing this memo, Ripple Cryptocurrency (XRP) cited US$2,43, earning a rating of over 115% over the past six months.