On June 26, 2025, United States District Judge Analisa Torres issued an official order denying the joint motion filed by Ripple Labs Inc. and the U.S. Securities and Exchange Commission (SEC) for an indicative ruling. This decision was confirmed by journalist Eleanor Terrett of Fox Business, who recently reported the development on X.
The motion, filed under ECF No. 987, asked the court to signal whether it would grant relief that could potentially dissolve the court’s earlier permanent injunction and reduce the financial penalty previously imposed on Ripple. Judge Torres ultimately denied this request, instructing the Clerk of Court to terminate the motion accordingly.
🚨JUST IN: Judge Torres has denied @Ripple and the @SECGov joint motion for an indicative ruling. pic.twitter.com/iPzD4aMG1H
— Eleanor Terrett (@EleanorTerrett) June 26, 2025
Background of the Legal Dispute
The legal dispute between Ripple Labs and the SEC began in December 2020, when the SEC sued Ripple. The SEC alleged that Ripple had violated the Securities Act of 1933 by offering and selling XRP without proper registration as a security. According to the SEC’s claims, Ripple’s failure to register deprived investors of the necessary information to make informed investment decisions.
The SEC’s complaint was grounded in Section 5 of the Securities Act, which requires entities that offer or sell securities to register those securities with the SEC or qualify for an exemption.
In July 2023, Judge Torres issued a summary judgment that partially favored the SEC, determining that Ripple had indeed offered XRP as a security in certain institutional sales without registration. This decision formed part of the broader Summary Judgment Order in the case titled SEC v. Ripple Labs Inc., 682 F. Supp. 3d 308 (S.D.N.Y. 2023).
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Details of the Joint Motion
In March 2024, the SEC filed a motion requesting a permanent injunction to prevent Ripple from further violating Section 5 of the Securities Act. The motion also sought a significant financial penalty. Following further litigation, both Ripple and the SEC jointly filed a motion requesting an indicative ruling from the court.
The motion specifically asked whether the court would dissolve the earlier injunction requiring Ripple’s compliance with securities laws and whether it would consider reducing the monetary penalty imposed on Ripple.
Judge Torres’s recent order explicitly states that this joint motion is denied. The court’s decision means that, at this stage, there will be no change to the existing injunction or the financial penalty unless further legal action modifies those terms.
Conclusion of the Ruling
In the formal conclusion of the order, Judge Torres wrote, “For the foregoing reasons, the parties’ motion for an indicative ruling is DENIED.” The judge also directed the Clerk of Court to officially close the motion. The order is dated June 26, 2025, and signed by Judge Analisa Torres, United States District Judge for the Southern District of New York.
Eleanor Terrett’s report highlights a significant development in the ongoing legal battle between Ripple and the SEC, reaffirming that the court maintains its earlier stance on the case’s remedies and penalties. The denial of the motion ensures that the summary judgment and the injunction previously imposed on Ripple remain in effect unless further court proceedings lead to a different outcome.
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