Ripple Lab secures a small but important win for its case
One of the very important decisions had been made in the case of SEC v. Ripple Lab. As part of the ongoing litigation, the agency sought to introduce to evidence the past communication between Ripple Lab and its attorney to prove that the company knew that its token sale could be considered an unregistered securities offering in violation of the U.S. securities law.
Earlier, the SEC filed a Motion asking to strip the attorney-client privilege from certain communication between Ripple Lab and its attorneys and compel the company to produce memos discussing the sale of XRP token with the company’s attorneys. The Judge denied this Motion based on the rationale that the privilege “encourage full and frank communication between attorneys and their clients and thereby promote broader public interests in the observance of law and administration of justice.”
Although the Ripple Lab’s battle with the SEC is far from being over, this is a very important interim decision for the case and the industry overall, showing that the communication between clients and their lawyers is protected and cannot be used against clients.