SEC v. Ripple Lawsuit: Latest Update Unveils New Sealing Proposals from Ripple and SEC
In an ongoing development in the lawsuit between the U.S. Securities and Exchange Commission (SEC) and Ripple, both parties have jointly submitted a proposal to address sealing issues related to the upcoming remedies brief in the case. The motion was filed in the United States District Court for the Southern District of New York, with the goal of establishing a schedule for sealing confidential materials.
Prominent crypto advocate James K. Filan shared this news on Twitter, as he often does with updates regarding the case. The joint sealing proposal aims to govern the sealing process for the remedies brief and its accompanying materials.
According to the proposal, on March 22, the SEC will file its opening remedies brief under seal. Then, on March 25, both parties will meet and confer to identify necessary redactions to the brief and supporting materials. The redacted version will be publicly filed on March 26, 2024.
Ripple, on the other hand, plans to file its opposition under seal on April 22. The parties will then meet and confer on April 23 to address relevant redactions. Ripple will subsequently file a redacted version publicly on April 24.
The proposal also states that the SEC will file its replies to Ripple’s remedies opposition brief under seal by May 6, 2024. On May 7, both parties will discuss the necessary redactions sought by each side or third parties before the redacted version is filed publicly on May 8.
To streamline the sealing process and address all related materials in a comprehensive manner, the SEC and Ripple proposed filing an omnibus motion to seal all materials associated with the remedies brief by May 13, 2024. This approach aims to provide efficiency and prevent piecemeal sealing requests.
The proposal allows for opposition to any part of the omnibus brief to be filed by May 20.
In their argument for sealing, the parties highlighted that the proposed schedule would grant the public prompt access to the remedies brief while ensuring compliance with previous court orders. They emphasized that a similar sealing request had been approved during the summary judgment phase of the lawsuit.
Additionally, in connection with Ripple’s submission of audited financial statements and contracts to institutional clients to the SEC last month, legal expert Bill Morgan suggested that the recent sealing proposal indicates the SEC’s failure to reveal Ripple’s post-complaint financial documents to the public. Morgan noted that the proposal would enable Ripple to redact commercially sensitive materials related to its audited financial statements in the SEC’s briefs.
These sealing proposals signal another step in the ongoing legal battle between Ripple and the SEC, as the parties navigate the complexities of disclosing sensitive information while ensuring transparency in the case.