XRP Lawsuit Settlement Awaits Judge Torres' Decision

Ripple filed for settlement on April 23, and the SEC submitted it on May 8. Both parties jointly submitted a Rule 62.1 motion to seek an indicative ruling from Judge Torres.

The US Securities and Exchange Commission (SEC) and Ripple have filed a joint motion for an indicative ruling on their proposed settlement in the ongoing lawsuit.

Both parties are seeking Judge Analisa Torres's view on the proposed stipulation of settlement, aiming to bring the case to a close after nearly three years of litigation.

The parties mutually filed the Rule 62.1 motion on Friday, May 8, detailing the planned next steps in the case.

The application for an indicative ruling is in response to a pending appeal by the SEC and a cross-appeal by Ripple. Both parties had moved to stay the appeal and cross-appeal pending the judge's input on the proposed settlement.

Judge Torres previously granted a motion to intervene in the case to 78,000 XRP holders, who are largely supportive of Ripple. They are being represented by attorney John Deaton.

The parties also agreed to reduce the civil penalty to $50 million and dissolve the injunction.

The judge's approval isn't guaranteed and will require her to perform an independent public interest assessment of the relief sought, explained lawyer Bill Morgan.

"The court must determine whether the relief sought meets legal standards, even with mutual agreement. It's a pivotal decision that will decide if the case continues or if it's time to bring it to a close."

The judge's ruling will decide if the parties can proceed with these planned actions. If Judge Torres grants the parties' request for an indicative ruling, she will return the case to the Court of Appeals for remand.

The parties will then move to enforce the agreed settlement terms once the limited remand is granted. This will involve Ripple paying the agreed fine and both parties formally dismissing their respective appeals.

The parties will then move to close out the case.

The parties jointly applied for an indicative ruling from Judge Analisa Torres on the proposed stipulation of settlement. Both parties had moved to stay the appeal and cross-appeal pending the judge's input on the proposed settlement.

The parties also agreed to reduce the civil penalty to $50 million and dissolve the injunction. Judge Torres's approval isn't guaranteed and will require her to perform an independent public interest assessment of the relief sought, explained lawyer Bill Morgan.

"The judge must determine whether the relief sought meets legal standards, even with mutual agreement. It's a pivotal decision that will decide if the case continues or if it's time to bring it to a close."

The judge's ruling will decide if the parties can proceed with these planned actions. If Judge Torres grants the parties' request for an indicative ruling, she will return the case to the Court of Appeals for remand.

The parties will then move to enforce the agreed settlement terms once the limited remand is granted. This will involve Ripple paying the agreed fine and both parties formally dismissing their respective appeals.

The parties will then move to close out the case.