- In a recent court filing, Ripple Labs has requested to seal various documents containing sensitive financial data, submitted in connection with the SEC’s Motion for Judgment and Remedies.
- The documents, referred to as the “Remedies Materials,” include audited financial statements, revenue, expenses, and other confidential business information.
- Ripple’s legal counsel argues that public disclosure of this information could be highly detrimental to the company’s competitive position.
Ripple Labs seeks to seal sensitive financial documents in ongoing SEC case, citing potential damage to the company’s competitive position and the protection of non-party entities.
Ripple’s Request To Seal Explained
Ripple’s legal counsel, Andrew J. Ceresney, has outlined the rationale behind the request to seal the Remedies Materials. He emphasizes the potential harm to Ripple’s competitive position if the sensitive financial data were to be publicly disclosed. The motion to seal is primarily focused on three aspects: the protection of highly confidential financial information, preservation of negotiating power, and ensuring the privacy of non-party entities.
Protection of Highly Confidential Financial Information
Ripple stresses the critical nature of the documents it seeks to seal, particularly its audited financial statements and related materials. The company argues that these documents contain sensitive financial metrics that are vital to maintaining its proprietary strategies and competitive position in the marketplace.
Preservation of Negotiating Power
Ripple also seeks to protect the details of its financial terms negotiated with third-party business partners. The company asserts that revealing the XRP sale terms could compromise its competitive position and adversely affect its negotiating capabilities in future deals.
Ensuring Privacy of Non-Parties
Ripple also seeks to redact the identities of non-party entities like XRP investors, customers, and business partners, asserting that their privacy should be protected as their identities and contact information are irrelevant to the legal issues at hand and could be misused if disclosed.
Conclusion
Ripple’s legal team also points out that the SEC has not opposed several of the sealing requests, which might play in favor of their motion. Citing previous cases where the court granted similar requests for sealing and redaction, the motion suggests that there is a strong precedent supporting their request. At press time, XRP traded at $0.507.
