A prominent legal expert has provided an update on the Ripple versus SEC lawsuit, sharing anticipated dates to keep an eye on. The recent Wells Notice sent to Robinhood has also had an impact on the industry. Marc Fagel, a seasoned legal veteran specializing in securities litigation, has offered insights and a timeline regarding the ongoing legal battle between Ripple Labs Inc. and the US Securities and Exchange Commission (SEC).
Fagel responded to a post from Brett Hill, an ambassador to Bitrue crypto exchange, who claimed that the Ripple versus SEC case would soon reach a final verdict after Judge Torres’ decision on Ripple’s fine. Fagel dismissed this premature conclusion and explained in an X post that while the SEC is expected to file a reply brief on remedies on Monday, it could take the court one to two months to reach a final decision.
Fagel clarified, “They’ve replied and the parties are awaiting a ruling on the motion to strike. Tomorrow is the due date for the SEC’s reply brief on remedies. But it will take the court some time to rule, maybe a month or two, which is why the post above is nonsense.”
According to a previous report from Crypto News Flash, Ripple disputed the SEC’s pursuit of a $2 billion fine in its opposition brief, arguing for a lower penalty. Ripple claimed that it complied with regulations by using ODL contracts to minimize profit and loss, while the SEC contended that the sales of XRP constituted securities.
In an update, the SEC submitted its remedies, reply brief, and supporting materials on Monday, as announced by Crypto News Flash. Defense attorney James Filan provided the update, noting that publicly redacted versions of the documents would be filed on May 8.
As part of the process to seal the materials related to the remedies-related briefing, all parties involved must file an Omnibus letter motion. Once this is done, the concerned parties will be required to submit a proposal for redacting the material. Additionally, Ripple, the SEC, and third parties must file opposition briefs to the omnibus letter motions to seal by May 20. Within 14 days after decisions are made on the motions to seal the omnibus letter, the parties involved must provide public, redacted copies of all the documents.
At the time of writing, XRP is trading at $0.5393, showing a 7% increase in the past week, with a trading volume of $1.8 billion and a market cap of $29.7 billion.
In a separate development, the SEC is closely scrutinizing Robinhood Crypto. On Monday, Robinhood revealed that it had received a Wells Notice from the SEC regarding tokens traded on its platform. The regulator alleged that Robinhood Crypto violated securities law, although it should be noted that a Wells Notice does not necessarily imply wrongdoing. Fagel explained the significance of the Wells Notice, stating that it would take a few months for the process to unfold.
Fagel clarified, “What this means is the SEC’s enforcement division has completed an investigation and will recommend that the 5 commissioners authorize it to file a lawsuit. Usually takes a few months for that process to play out.”