Ripple Vs SEC: Deaton Says Judge Torres Could Deny Summary Judgment
According to John E. Deaton, a crypto lawyer, there is a possibility that Judge Analisa Torres in the Ripple-SEC lawsuit may declare a real dispute of material facts regarding the existence of a common operation in the case. Deaton noted that the SEC’s inconsistent position on what constitutes the common enterprise may contribute to this outcome.
He also highlighted the neglected possibility that Judge Torres may reject both requests for summary judgment and present the case to a jury.
Deaton stated that it is challenging to make predictions until they have an opportunity to review all relevant facts and evidence pertaining to Rule 56.
According to Deaton, the SEC argues that XRP satisfies the second and third prongs of the Howey test legally. However, it’s up to the SEC to provide evidence and proof, which it has failed to do for the second prong and for going transaction by transaction.
Deaton stated, “This is why I’m confident the SEC won’t be granted summary judgment as requested. I could see the judge denying it and letting the jury decide some issues.”
The outcome of the legal battle between Ripple and the SEC is still uncertain, but the stakes have never been higher. Both parties are seeking to protect their interests as a dispute arises over sealing some records in the lawsuit.