XRP Lawsuit: Court Order Favors Ripple CEO Brad Garlinghouse

In a significant update to the ongoing In re Ripple Labs Inc. Litigation, Judge Phyllis Hamilton has issued an order supporting Ripple Labs, XRP II LLC, and CEO Brad Garlinghouse.

The court granted the defendant’s request for a final judgment and approved a stay on the class action claims raised by the plaintiff, following a joint motion filed by both parties.

The court’s recent decision favors Ripple and Garlinghouse regarding class action claims of alleged unregistered securities sales and violations of California securities laws, including accusations of Garlinghouse’s control person liability.

This ruling came as Ripple petitioned for a judgment and suspension of the remaining state law claims until these class claims were resolved. The court also encouraged both parties to pursue possible alternative solutions for a separate, individual claim in the case.

This development represents a positive outcome for Ripple as it prepares for the next stages of the legal proceedings. Notably, the court has set January 21 of the coming year as the trial date, emphasizing that any other pretrial dates would be put on hold. Adjustments to these dates will be scheduled only after any appeals or motions regarding the class action claims are resolved.

Ripple’s Position Strengthens

Ripple’s legal team and supporters are monitoring developments in the broader XRP regulatory debate, which has intensified following Donald Trump’s recent commitment to establish clearer cryptocurrency regulations and remove Gary Gensler from his role as SEC Chair.

This pledge has fueled speculation that the longstanding Ripple vs. SEC lawsuit could see significant shifts, especially with rising criticism of the SEC’s approach to regulating digital assets.

In a separate SEC case, the agency has alleged that Ripple and its executives conducted unregistered securities offerings. The regulatory authority has faced pushback for appealing Judge Analisa Torres’s ruling in Ripple’s favor.

Critics, including prominent market participants, argue that the SEC’s appeals lack merit and have called for a more structured, transparent approach to digital asset oversight.

Adding to the pressure, American Securities Association (ASA) President Chris Iacovella has publicly urged Gensler’s resignation, underscoring broader industry frustration with the SEC’s tactics.

David Schwartz, Ripple’s CTO, has expressed optimism regarding the case’s trajectory, noting that Ripple’s arguments have garnered substantial legal support.

Attorney Fred Rispoli, who has been following the proceedings closely, also weighed in, stating that although outright withdrawal of the case by the SEC may be “unrealistic,” a settlement remains a practical and probable outcome.

Ripple’s supporters view Trump’s anticipated policy changes and Gensler’s potential departure as developments that could contribute to an accelerated resolution. These political dynamics have reinvigorated confidence within the XRP community, fostering hope that ongoing litigation could be resolved favorably for Ripple.

Potential Implications for XRP and Cryptocurrency Regulation

The latest court order has implications for Ripple and the broader digital asset space. With the next hearing date set for early next year, Ripple is afforded time to evaluate its legal strategy.

If Judge Hamilton’s recent judgment stands without significant appeal obstacles, Ripple’s litigation against class action claims might soon conclude, potentially providing clarity for XRP investors.

Moreover, Trump’s administration may play a pivotal role in redefining regulatory priorities, aligning them more closely with industry expectations for clearer cryptocurrency rules. Observers believe these shifts could make settlement more attainable for Ripple, relieving it from prolonged litigation and enhancing XRP’s market positioning.

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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