- Ripple and the SEC contended jointly that their request to halt appeals should be taken until the district court decides on its June 12 settlement motion.
- It is suggested that the settlement requires a penalty of 125 million, 50 million of which is to be paid to the SEC, and the rest shall be Ripple money.
- In cases where the court will not have made a ruling by August 15, 2025, both parties will receive an update on the case status.
Ripple and the U.S. Securities and Exchange Commission (SEC) have joined hands in filing a motion with the U.S. Court of Appeals for the Second Circuit, asking to ensure that the appeals procedure on the continued lawsuit over XRP is halted. This prompted the filing of the status report on June 16, which is just before the deadline imposed by the latter, and this was a unified action by both parties as they await the crucial decision of the district court.
In the joint request, it is stipulated that the appeals process will be deferred until August 15, 2025. Through this timeline, the district court can provide a ruling on the June 12 motion, whereby both Ripple and the SEC proposed a settlement, which had the two agreeing to pay a sum of $125 million in a civil penalty. In the terms, 50 million was set to the SEC, and the rest, 75 million, would have been out of escrow and would have gone back to Ripple.
The Implications of the June 12 Motion
A previous injunction that was supposed to be litigated was also requested to be lifted in the June 12 motion, indicating that the two parties are working in coordination to get rid of the case. The critics of the law, such as the defense attorney James Filan, have suggested that such an action of suspending the appeals could be an indicator of a strategy that would be receiving an important ruling of the lower court.
In case the court fails to provide a decision by August 15, Ripple and the SEC will have to present another update. The period of the district court decision may define the future of the case and possibly bring the situation to its end even earlier, in case of the approval of the suggested compromise without objection.
Legal Strategy Implies Compliance
The cooperative aspect of a request means that the legal process is at a friendly stage. Although the suspension may lengthen the scheduling, the suspense may also shorten the process by the decision of the court in favour of the settlement.
Things will depend on the decision to be made by the district court soon, and this is likely to determine the resolution of the case, which has been protracted for as far as three years.
