The US Court of Appeals for the Second Circuit has Issued Order in the XRP lawsuit between the Securities and Exchange Commission (SEC) and Ripple Labs, Inc. The court ruled that the SEC must file its appellate brief by January 15, 2025, with a specific deadline.
Ripple Status Update: New SEC Filing Deadline
The court’s order, dated October 31, 2024, unambiguously states: “Appellant Cross-appellant’s brief is hereby filed on or before January 15, 2025. The appeal is hereby dismissed as of January 15.” January 2025, if the brief has not been filed by that date. Any motion to extend the time to file the brief or request further relief will not affect the filing date.
This strict guidance asserts that failure to comply will result in denial of the SEC’s appeal, underscoring the court’s insistence on adhering to procedural timelines.
The court’s order comes on the heels of recent controversy surrounding the SEC’s filing of Form C, which outlines the specific issues the agency intends to address on appeal. Within the XRP legal community, there has been significant speculation that the SEC has missed the deadline for this crucial filing.
The SEC was able to file Form C before the discussed deadline of October 17, 2024. The exact deadline was a point of contention, with discussions centered on whether it fell on October 16 or 17. A missed deadline could have jeopardized the SEC’s capacity. Proceed with appeal. However, legal experts have noted that although failure to meet this deadline constitutes a procedural error, courts often give federal agencies some leeway to correct such errors.
The court order sparked notable reactions from legal professionals involved in the XRP community. “At least the consequences of not meeting this deadline are clear,” pro-XRP lawyer Bill Morgan commented on X.
“This is the standard arrangement,” noted commercial litigator and Bitcoin advocate Joe Karlas. Karlasar’s comment notes that while the order is strict, it is consistent with typical procedural guidance in appellate cases, and is not related to the SEC’s previous Form C filing.
Adding another layer of complexity is that the upcoming US presidential election could significantly impact the SEC’s approach to this issue. If former President Donald Trump is successful against Vice President Kamala Harris, organizational leadership may change. At the Bitcoin 2024 conference, Trump made a bold assertion that he would fire SEC Chairman Gary Gensler on day one.
This statement has sparked speculation that a new SEC head under the Trump administration may choose to drop the case against Ripple before the January 15 deadline. However, if Trump loses, the next key date will be set in the Ripple vs. SEC case.
At press time, XRP was trading at $0.5117.
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