Ripple Executives File for Lawsuit Dismissal On Back of Last Week’s Victory; XRP Jumps On the News
Following another legal victory in the lawsuit against Ripple's Brad Garlinghouse and Chris Larsen filed by the US Securities and Exchange Commission's (SEC), the executives are asking the judge to dismiss the case permanently.
Both Garlinghouse and Larsen have submitted motions to the US District Court Judge asking that the SEC complaint against them be dismissed with prejudice. Dismissing the lawsuit with prejudice would end the case against them and prevent the SEC from refiling the same charges in the future.
The duo stated that even though SEC had investigated them for over two and a half years before filing its initial complaint, the SEC has failed to allege any discrete XRP offers or sales.
Judge Denies SEC's Request Seeking Financial Records
Ripple's filing for dismissal comes after Judge Sarah Netburn denied the SEC's request seeking access to eight years of financial data belonging to Ripple's Brad Garlinghouse and Chris Larsen.
Netburn said the SEC's request for personal financial records, outside the ones belonging to transactions relating to XRP, was irrelevant and disproportional to the “needs of the case.”
“The SEC shall withdraw its requests for production seeking the individual defendants' personal financial records and withdraw its third-party subpoenas seeking the same,” Netburn stated.
However, if the lawsuit progresses to a point where the SEC has more evidence indicating Garlinghouse and Larsen lied about their XRP transaction records, Netburn said the regulator might renew its application.
After the SEC filed its request last month, Ripple executives had written a letter asking the federal judge to deny the request stating that seeking sensitive personal banking information is a wholly inappropriate overreach.
According to the duo's lawyers, who wrote the letter on their behalf, the lawsuit did not need such personal information as it was irrelevant, and this is not a fraud case. The legal team also stated that there were no allegations whatsoever that the individual defendants' finances were at any point connected with Ripple's accounts.
Netburn granting Ripple's motion signals another win in its fight against the regulator. Ripple's first victory was when the court approved Ripple's motion asking to look into the SEC's internal communications over how it classifies cryptocurrency as a security.
XRP Soars Amid Lawsuit Victories
It seems Ripple's XRP has been positively affected by the little wins in the lawsuit, CoinShares adding an XRP ETP, and South Korea's increased trading, as the digital asset has almost tripled in value.
TradingView data shows that XRP registered a low of $1.42 before staging a 34% rally to a high of $1.79.
XRP is now among the top four crypto assets by market value, behind Bitcoin (BTC) at $62.9k, Ethereum (ETH) at $2.4k, and Binance Coin (BNB) at $544.