Ripple once again files a motion to dismiss XRP securities lawsuit.

Ripple has once again filed a motion to dismiss its XRP securities lawsuit. The blockchain-based payment settlement company has argued that even if XRP were security, investors brought their case far too late.

In a filing with the US District Court for the Northern District of California on Dec.4, Ripple said that arguments made by XRP investors who are suing the issuing company contradict their original claims. Ripple has asked the court to dismiss the class-action lawsuit against them entirely.

 

The plaintiffs allege that Ripple sold unregistered security.

The investors of Ripple’s XRP filed a lawsuit against the company for allegedly selling unregistered security back in 2018. However, in August, the lead plaintiff, Bradley Sostack, filed an amendment stating that the company had been selling XRP to retail investors as unregulated security. The court will hear the case on January 15, 2020. Ripple also mentioned its filing that Ripple’s alleged sales of XRP accounted for 0.095%, which is less than one-tenth of one percent of the total volume of XRP sold on exchanges.

 

Second time Ripple has filed a motion to dismiss the lawsuit.

Ripple had previously filed a motion to dismiss the lawsuit entirely against the company. In its motion, Ripple had argued that the plaintiff failed to bring the case within three years of the initial offering, which took place in 2013. In the latest filing, Ripple has also pointed out the contradictory statements by the plaintiffs. In the original complaint, it was alleged that all 100 billion XRP were created out of thin air, which contradicts the amended complaint, which says that Ripple issues new XRP each month from its escrow wallet.

ADVERTISEMENT
Jai Pratap
Jai Pratap
A Mass Media Graduate who loves to write. Jai is also a sports enthusiast and a big movie buff. He loves to learn new things.

Leave a reply

Please enter your comment!
Please enter your name here