Ripple's argument that an XRP holder has waited too long to bring a lawsuit has no precedent, a new legal deposit.
Bradley Sostack, the plaintiff in a class action lawsuit, statedRipple's rest status – a three-year period during which victims can allege alleged wrongdoing – does not immunize the defendant from securities laws because of the pending sale of XRP.
In a new legal deposit made public late Monday, Sostack claimed that the monthly sale of XRP by Ripple out of escrow constituted a continuing sale of securities, as was presented in its response to Ripple's motion in September.
Sostack is the court-appointed lead plaintiff in a long-standing legal battle with Ripple and his CEO, Brad Garlinghouse, on the basis of statements that payment of payments would violate US securities laws by selling XRP at large. public and promising that the value of the token would increase.
S & T, relying on a judicial precedent, said the defense was relying on a "decision out of the loop" that "can not be paralleled with the Supreme Court's more recent decision that the statue rest "stems from the last wrongful act of the accused (the offer of securities). & # 39; "
The answer says:
"The defendants failed to cite any case – and no court has indeed concluded – that responsibility for multiple offers was excluded by the law of rest."
The lawsuit was filed early last summer. Sostack and its attorneys, law firms Susman Godfrey and Taylor-Copeland Law, then filed a modified class action in August 2019, combining the actions of Ripple with the standards set out by the US Securities and Exchange Commission (SEC). United States in its cryptographic asset management framework. claiming that XRP is a security.
Ripple avoided the question of whether XRP is a guarantee in his answer, claiming instead that the plaintiff had not brought a lawsuit in accordance with the Rest Law and that he had not lodged a complaint in under the law.
While the complaint alleged that the XRP cryptocurrency was a security, it is unlikely that this issue will be resolved in the course of the current proceedings, according to legal experts.
XRP Requestor's Response to Ripple's Request to Reject CoinDesk's Application on Scribd