{"id":36954,"date":"2023-07-17T19:10:27","date_gmt":"2023-07-17T23:10:27","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/attorney-deaton-predicts-judge-torres-rejection-of-sec-appeal-request\/"},"modified":"2023-07-17T19:10:28","modified_gmt":"2023-07-17T23:10:28","slug":"attorney-deaton-predicts-judge-torres-rejection-of-sec-appeal-request","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=36954","title":{"rendered":"Attorney Deaton Predicts Judge Torres’ Rejection of SEC Appeal Request"},"content":{"rendered":"
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Speculations and discussions around the Ripple versus SEC lawsuit continue even after the fintech company secured a victory in recently-released summary judgment.\u00a0<\/p>\n

Recent tweets capture a correspondence between CryptoLaw founder John Deaton, Attorney Bill Morgan, and former SEC regional director Marc Fagel concerning the possibility of an appeal on the case.<\/p>\n

In a July 16 tweet<\/u><\/a>, Deaton speculated that US District Judge Torres would not approve an appeal request from the SEC.\u00a0<\/p>\n

Deaton and Others Argue Whether Judge Torres Would Decline SEC\u2019s Appellate<\/h2>\n

A statement<\/u><\/a> from an XRP enthusiast claiming that Deaton said none of the parties could appeal the judge’s ruling until the final court resolution triggered an exchange between the trio.\u00a0<\/p>\n

However, reacting to Deaton’s statement, Fagel said that while it is up to the court to approve an appellate, either party can seek an immediate appeal.<\/p>\n

In response to Fagel, Deaton clarified his statement, noting that he never implied an appeal can’t come before a jury verdict. He added that while both parties have the right to appeal, it won’t be immediate.\u00a0<\/p>\n

Furthermore, the prominent pro-XRP lawyer explained that either party could ask Judge Torres to approve their appeal request before asking the second circuit to accept it.\u00a0<\/p>\n

However, Deaton emphasized that he doesn’t think Judge Torres would approve the SEC’s request.<\/p>\n

Deaton believes the judge would decline it because she based her ruling on a strict application of the Howey factors per the SEC’s summary judgment request.\u00a0<\/p>\n

According to the lawyer, Judge Torres applied the Howey analysis to each XRP sale which the SEC alleged violated securities law.<\/p>\n

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“The court agreed that the Howey test was controlling and applied it accordingly. In essence, the judge applied a non-controversial 76-year-old well-settled Supreme Court test to the facts of the case,”<\/i> Deaton explained<\/u><\/a>.\u00a0<\/p>\n<\/blockquote>\n

On that note, Deaton concluded that either party may submit a written application to persuade the judge, but he sees no point in trying.\u00a0<\/p>\n

Will Ripple Appeal Judge Torres\u2019 Decision? Fagel and Deaton Exchange Views<\/h2>\n

In addition, Attorney Deaton said he would be surprised if Ripple agreed to an interlocutory appeal to cross-appeal on the ODL sales. He expects the fintech company to counter any motion to appeal Judge Torres’ decision.\u00a0<\/p>\n

In response, Fagel stated<\/u><\/a> that both sides would appeal Judge Torres’ ruling, adding that the SEC had a better chance of reversing the judgment on the “programmatic sales.”<\/p>\n

The exchange dragged on<\/u><\/a>, with other XRP enthusiasts chipping in. Weighing in on the discussion, Bill Morgan supported Marc Fagel\u2019s opinion.\u00a0<\/p>\n

Morgan said<\/u><\/a> he agreed with Fagel that both sides would appeal, noting that the only thing preventing it would be a settlement. However, the former SEC director speculated there wouldn’t be a settlement.\u00a0<\/p>\n

According to Fagel, the SEC won’t accept a settlement because it won’t take the ruling off the books. Also, Judge Torres’ decision significantly affects the SEC’s cases against crypto exchanges in other courts.<\/p>\n<\/p><\/div>\n