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Legal Expert Says This Summary Judgment Briefing “Will Be Critical For Ripple”

source-logo  thecryptobasic.com 28 February 2024 08:27, UTC

Pro-XRP lawyer Fred Rispoli issues fresh comments regarding the legal dispute between Ripple and a group of XRP investors led by Vladi Zakinov.

In a tweet yesterday, Attorney Rispoli noted that the summary judgment briefing in the Zakinov lawsuit “will be critical” for Ripple, just like the SEC’s case.

The expert suggested that the summary judgment briefing could be crucial in determining whether the final verdict would favor Ripple.

This is the class notice for the Oakland civil class action lawsuit against Ripple that was filed long before the SEC filed its case. Summary judgment briefing will be critical for Ripple here as well.

— Fred Rispoli (@freddyriz) February 25, 2024

It is worth noting that the summary judgment briefing in the SEC v. Ripple case also played a pivotal role in determining Judge Analisa Torres’ decision in July. Following the summary judgment briefing, Judge Torres declared that Ripple’s programmatic sales and other distributions of XRP do not constitute investment contracts.

She also declared XRP in itself as a non-security while finding that Ripple violated the law via its institutional sales.

Notice from Zakinov Class Action

Meanwhile, Attorney Rispoli made the remark in reaction to a tweet from an XRP community member, who called attention to a document from the Zakinov lawsuit.

The document, attached to the tweet, serves as a notice to U.S.-based investors who hold or sold XRP at a loss from July 3, 2017, through June 30, 2023.

Per the document, eligible XRP investors are required to either do nothing and be bound by the outcome of the class action or ask to be excluded from the litigation on or before April 5, 2024.

Investors who participate in the lawsuit may receive monetary incentives from Ripple. Participating in the lawsuit also implies giving up your rights to sue Ripple separately in the future regarding the same legal claims, irrespective of the outcome of the verdict.

Being excluded from the lawsuit helps retain your rights to sue Ripple in the future for the same legal claims. However, XRP investors who choose this option will not participate in any monetary incentive from the class action.

Background of the Case

For context, the Zakinov lawsuit alleges that Ripple, its CEO Brad Garlinghouse, and its subsidiary XRP II offered and sold XRP to U.S. investors as unregistered securities.

Notably, the U.S. District Court for the Northern District of California ordered the case to be a class action. Last year, it also certified two classes for the lawsuit- Federal Securities Claim Class and California State Securities Claim Class.

Although the lawsuit was introduced in 2018, the court scheduled an official trial to be held in October 2024.