A notable twist emerged in the ongoing legal battle between the Securities and Exchange Commission (SEC) and Ripple Labs, as the United States Court of Appeals for the Second Circuit issued a crucial notice. This development centers around a procedural oversight by Ripple’s co-founder Chris Larsen’s legal team, who failed to submit a required Acknowledgment and Notice of Appearance by the critical deadline of October 18, 2024.
The news broke via Amelie (@_Crypto_Barbie), a well-known figure in the crypto space, who shared the court’s notice on X (formerly Twitter). This notice underscores the procedural lapses that could have serious ramifications for Larsen’s legal representation, particularly in light of the looming oral arguments in the case.
A Time-Sensitive Error
The court’s notice clearly states that if Larsen’s counsel does not rectify the oversight within 14 days, they risk being excluded from participating in oral arguments. This warning places significant pressure on Ripple’s legal team, emphasizing the importance of adhering to procedural rules, especially in high-stakes cases like this one.
Legal expert Marc Fagel stepped in to clarify the context of the court’s notice, emphasizing that the issue directly pertains to Larsen and not the SEC. He stated, “This has nothing to do with the SEC or any supposedly late filing. This is directed at Larsen, who has not yet filed his appearance in this case.”
Fagel further elaborated on the SEC’s filings, noting that their Form C was submitted on time, on October 16, 2024, with the documentation duly docketed the following day. Misinterpretation arose within the community, with some speculating that the SEC had missed a deadline due to the absence of public sharing on the original due date. However, Fagel reassured stakeholders that there was no evidence of any delay on the SEC’s part.
Implications of Oversights
Another legal commentator, Fred Rispoli, weighed in on the procedural lapse, highlighting the significance of such errors. He remarked, “This time Ripple failed to file a form on time. Not a big deal but also not the kind of thing you are thrilled to see when you are paying a collective $8,000 per hour from your legal team.” Such financial stakes make it all the more critical for Ripple’s legal representatives to maintain vigilance regarding procedural deadlines.
The ramifications of this oversight could be substantial for Ripple’s defense strategy. Without timely rectification of the Acknowledgment and Notice of Appearance, Larsen’s team may find themselves at a disadvantage during the oral arguments, potentially impacting the overall direction of the case.
Also Read: Is Ripple’s XRP Gearing Up for a Major Breakout? Analyst Predicts $40 Price Target
What’s Next for Ripple?
With the clock ticking, Ripple now has until November 5 to address the oversight and file the necessary documentation. This development underscores the intricate interplay between legal strategy and procedural compliance in high-profile cases, particularly in the fast-paced world of cryptocurrency regulation.
As the crypto community watches closely, the stakes have never been higher for Ripple. With legal experts emphasizing the need for precision and timeliness, the outcome of this case could have far-reaching implications not just for Ripple, but for the entire cryptocurrency landscape.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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