What’s Coming For XRP On April 16: Legal Expert Makes Clarification

In a recent tweet, attorney Fred Rispoli responded to a question from an X user about what to expect on or before April 16—Ripple’s deadline to file an appellate brief. According to Rispoli, the company must file its appellate brief or submit a notice of settlement or withdrawal.

He assessed that a filing is unlikely, estimating only a ten percent chance of that outcome, while placing a ninety percent likelihood on some form of settlement or withdrawal occurring instead.

Dual Jurisdictions and Procedural Constraints

In a later tweet, Rispoli clarified what he believed was a widespread misunderstanding about the legal process. He explained that the case is currently operating within two separate jurisdictions. One is the Southern District of New York under Judge Analisa Torres, and the other is the Second Circuit Court of Appeals.

He noted that no changes, including modifications to the injunctive order previously issued by Judge Torres, can be made at the district court level until the appellate process is resolved. This could be done either through settlement or formal withdrawal of the appeal.

Rispoli emphasized that procedural activity in the lower court is essentially paused until the appellate court’s involvement concludes. This distinction is significant because it means that even if both parties wish to alter aspects of the original ruling—such as the injunction—they must first address the status of the appeal in the higher court.

Interpretations of the Joint Motion and Settlement Strategy

Retired securities Lawyer Marc Fagel responded to Rispoli’s update by suggesting that a joint motion filed earlier the same day might signal a settlement agreement in principle.

In Fagel’s view, such an agreement could involve returning to Judge Torres to amend the injunction before officially dismissing the appeals. This reading would indicate that the parties may attempt to coordinate the sequencing of both jurisdictions to resolve the remaining issues.

Rispoli acknowledged the logic of Fagel’s interpretation but admitted some uncertainty regarding the steps required to restore jurisdiction to the district court.

He stated that a return to Judge Torres is certain. However, whether doing so would require withdrawing the appeals is unclear. He described that move as somewhat risky, given the need to ensure jurisdiction is properly reestablished without disrupting the legal process.

Joint Motion to Pause Appeals Reflects Settlement Progress

According to a Times Tabloid article, Ripple and the SEC filed a joint motion to place the ongoing appeal in abeyance, indicating that both parties have reached a settlement agreement pending final approval from the SEC Commission.

This development means no further legal briefs will be filed on April 16, signaling that behind-the-scenes negotiations between Ripple and the SEC have yielded substantial progress.

While the settlement agreement has not yet been publicly disclosed, the cooperative move is being hailed as a significant shift in a legal battle that has spanned over three years.

It marks the closest point to full resolution since the SEC first filed suit against Ripple Labs in December 2020, accusing the company of conducting an unregistered securities offering through the sale of XRP.

Rispoli’s remarks underscored the complexity in resolving legal matters spread across multiple jurisdictions. He maintained that no movement can occur in Judge Torres’s courtroom until the appellate court matter is settled or withdrawn. With Ripple and the SEC filing a joint motion to place the appeal in abeyance, a settlement is likely to happen once the commission gives final approval.

Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.

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