New class action hearing scheduled against Ripple
A new hearing in the class action lawsuit filed against Ripple Labs referred to as Zakinov v. Ripple, is set to take place on April 26 in the United States District Court for the Central District of California.
According to the allegations made in the class action complaint, Ripple Labs participated in an unlawful securities offering of the XRP cryptocurrency, which resulted in investors suffering losses.
Ripple Labs takes heat for selling XRP
In a separate but related incident, a petition for permission to submit an amicus brief on behalf of nearly 75,000 XRP holders was submitted by an attorney named John E. Deaton.
The certification of the class of XRP holders who are suing Ripple will, however, be the primary focus of the oral arguments presented at the hearing.
As a result of their belief that the outcome of the case may have a significant effect on their holdings, the goal of this motion is to make sure that the court hears their views.
Regarding Deaton’s motion, the judge has not yet rendered a decision. The decision reached in this hearing might be a model for how cryptocurrency firms should deal with customers’ digital assets if similar disputes arise.
The session will now be broadcast online, and the court will allow up to 500 members of the public to participate. Plaintiff Bradley Sostak, who only had XRP for a short two-week period, is the subject of this lawsuit, which was first filed in 2020.
Sostak requests that he be given the lead plaintiff role in this case and allowed to represent all XRP holders who either held or traded the cryptocurrency during the period in question.
