Combined action of lawsuit against lawsuits against ripple


An ongoing legal battle between XRP investors and the initiation of payments Ripple is entering its next phase.

The lawyers of Ripple Labs and its affiliated defendants filed a consolidated lawsuit against the class action from its previous headquarters at the Supreme Court of San Mateo at the US District Court in the Northern District of California, according to court documents published Wednesday .

The defendants claimed that the consolidated case meets the requirements for filing a lawsuit with the federal upper court.

In addition to the request to change headquarters, Ripple's lawyers hinted at the company's defense against the lawsuit, which states that the XRP token is a security issued by Ripple. As part of the removal process, they wrote:

"The plaintiffs do not claim that they have no information about the nature of these transactions, however, the plaintiffs claim to have been hurt in some way because the Defendants were called to register XRP as" security "with the Securities & Exchange Commission (" SEC " ) but he could not do it. "

The consolidated collective action combines previous legal actions classified by plaintiffs Avner Greenwald, David Oconer and Vladi Zakinov, according to the document. A fourth trial submitted by Ryan Coffey was voluntarily dismissed by the plaintiff in August, although Ripple's lawyers later reported that it was related to Zakinov's lawsuit.

The defendants now include Ripple Labs and its subsidiary XRP II, as well as Bradley Garlinghouse, Christian Larsen, Ron Will, Antoinette O & Gorman, Eric van Miltenburg, Susan Athey, Zoe Cruz, Ken Kurson, Ben Lawsky, Anja Manuel and Takashi Okita.

Why the move?

Ripple's lawyers claim that, under the CAFA (US Action Fairness Act), the case can be transferred to the federal court. In particular, they mention the fact that there are more than 100 members of the class in question, at least one plaintiff is a citizen of a different state than the defendants and the total amount reported for exceeds $ 5 million.

One of the causes, originally presented by the Israeli resident Avner Greenwald, states that there are "thousands" of individuals who have lost money after purchasing XRP. The plaintiffs also ask Ripple to pay $ 167.7 million in damages.

Simply the act of trying to transfer the case to the district court means that the case is now before that federal court, said Stephen Palley, a member of the law firm D.C. Anderson Kill.

Palley told CoinDesk that the plaintiffs can try to move the case back to a state court by filing a precautionary motion. And indeed, a subsequent deposit filed Thursday indicates that the plaintiffs will present a motion to postpone the case to the San Mateo Superior Court.

As such, the next deadline for Ripple to respond to the complaint itself will be two weeks from the date on which the precautionary motion is denied (if it is rejected) or two weeks since the San Mateo Court receives the case (if the motion remand is approved).

Speaking of class action lawsuits in general, Palley explained that "conventional wisdom is that state court juries and judges tend to be more sympathetic to plaintiffs," partly because state courts draw from a pool of multiple jurors. local.

"There's also the perception that sometimes a State Court judge … may be more political," he said, noting that some state judges are elected.

"The defendants, on the other hand, have the perception that they will get a fairer jolt in the federal court".

Read the full removal notice here:

Ripple Consolidation Remova … by Scribd

Image of the statue of justice through Shutterstock

The leader in blockchain news, CoinDesk is a point of reference that is committed to the highest journalistic standards and adheres to a strict set of editorial policies. CoinDesk is an independent operating subsidiary of the Digital Currency Group, which invests in criptovalute and blockchain startups.

[ad_2]Source link