Ripple Vs SEC: SEC has No Right to Appeal in Ripple Case, Says Ripple’s CLO

In the ever-twisting legal battle between the Securities and Exchange Commission (SEC) and Ripple, a new chapter has emerged that is gripping the crypto community’s attention. The SEC has filed a letter outlining its intent to seek an interlocutory appeal regarding “Programmatic” offers and sales to XRP buyers. This move has sparked reactions from legal minds, journalists, and Ripple executives alike.

SEC’s Bold Move: An Interlocutory Appeal

The SEC’s decision to seek an interlocutory appeal is not unexpected but is known to be notoriously tricky to get approved. The appeal would pertain specifically to programmatic offers and sales to XRP buyers, and not whether XRP itself is a security.

According to James K Filan, a defense lawyer, and former Federal Prosecutor, the SEC will also ask to stay the judgment pending its appeal, potentially setting the stage for an “epic battle” between the parties.

Legal Experts Weigh In

Several legal experts have shared their insights on this move, pointing to the complexity of interlocutory appeals and the hurdles the SEC must overcome.

Eleanor Terrett, a journalist at Fox Business, noted that the SEC would need blessings from both Judge Torres and the Second Circuit for the appeal to be granted.

Former Lawyer Scott Chamberlain expressed his belief that Judge Torres would deny the request, citing that she avoided new law in her ruling and that the SEC’s failure was due to undisputed facts rather than shifting legal definitions.

Australian lawyer Bill Morgan urged Ripple’s CLO, Stuart Alderoty, to hit the SEC hard and reminded him of the SEC’s own formulation of different categories that Judge Torres ruled on.

Ripple’s Response: A Promise of Retaliation

Ripple has not taken this move lightly. Stuart Alderoty, CLO at Ripple, emphasized that the SEC does not have the “right” to appeal just yet, and Ripple will file its response with the court next week.

A Questionable Decision by the SEC?

Some have voiced concerns over the SEC’s decision to request an interlocutory appeal, labeling it as questionable. Lawyer Jeremy Hogan noted that the appeal is not regarding whether XRP itself is security but its losses on programmatic and individual sales issues.