SEC's Delay in Resolving the XRP Lawsuit Isn't a Pivotal Issue: Lawyer

Recent insights from legal expert Fred Rispoli suggest that the resolution of the XRP lawsuit may be closer than expected.

The crypto community is holding its breath as anticipation builds around the imminent settlement of the XRP lawsuit. Recent insights from legal expert Fred Rispoli suggest that the resolution may be closer than expected.

XRP Lawsuit: Why the SEC’s Delay Isn’t a Pivotal Issue?

Lawyer Fred Rispoli is downplaying the role of the US Securities and Exchange Commission’s (SEC) delay in resolving the XRP lawsuit. While many consider the delay a major factor, Rispoli believes the case’s resolution is simpler than anticipated.

“I just don’t see this being the big issue some are making it out to be. It’s unorthodox, but not difficult,” Rispoli stated.

The expert’s comments suggest that the SEC’s delay may not be as critical as many believe. Rispoli urges the community to shift the focus from the delay to the potential outcomes and implications of the lawsuit’s resolution.

Previously, Rispoli dismissed discussions surrounding the SEC’s delay, deeming them unnecessary. He also addressed the SEC’s excuses as cowardly.

Key Considerations Regarding Torres’ Order: Lawyer’s Insights

According to lawyer Fred Rispoli, the delay in the Ripple-SEC case isn’t a significant issue. This sentiment is echoed in his statement that the SEC will handle Judge Torres’ enforcement order, not the judge herself.

Moreover, Rispoli shared insights on the possibility of Ripple and the SEC jointly filing a motion to vacate the judgment, which he sees as the cleanest way to dismiss the XRP lawsuit. In this approach, the SEC and Ripple would agree to vacate the judgment in exchange for Ripple dropping its appeal of the ruling.

Recently, XRP advocacy platform All Things XRP shared five possible outcomes of the Ripple lawsuit. The potential outcomes include the withdrawal of the SEC’s appeal, the reduction of Ripple’s penalty, the reversal of the court decision, the lifting of the injunction, and the complete closure of the case by the SEC.

SEC’s Flexibility in Resolving Ripple Case

Furthermore, Rispoli highlighted the SEC’s flexibility to resolve the XRP lawsuit without vacating the order. The regulator can bypass vacating the order by drafting a settlement agreement with Ripple, in which the SEC agrees not to enforce the judgment in exchange for Ripple dropping its appeal of the ruling.

Interestingly, the SEC Enforcement Manual prioritizes cooperation and settlement over litigation, providing a framework for the regulator’s actions. However, the agency has historically exercised its discretion, sometimes bypassing due process. In this case, the agency’s flexibility could facilitate a fair outcome for the Ripple lawsuit, stated Rispoli.

Rispoli’s comment comes in response to Fox Business journalist Eleanor Terrett’s report on an imminent XRP lawsuit settlement.