XRP Advocate and Crypto Lawyer John Deaton Joins LBRY Lawsuit – Here's the Latest
On September 13, John Deaton, the attorney renowned for representing XRP token holders in their legal battle against the SEC, formally filed a notice to serve as Amicus Curiae in the LBRY court case.
This move was followed by an official submission to the United States Court of Appeals for the First Circuit on September 14.
An "Amicus Curiae," which translates to "friend of the court" in Latin, refers to an individual or group not directly involved in a lawsuit but offers information, expertise, or a brief to assist the court in making a decision.
This recent development comes in response to LBRY's filing of an appeal notice to the United States Court of Appeals for the First Circuit just one week ago.
LBRY's appeal seeks to challenge the final judgment issued on July 11, which mandated LBRY to pay a civil penalty and prohibited its engagement in unregistered offerings of cryptocurrency securities.
Taking to social media, John, through X (Formerly Twitter), affirmed his participation and dedication, stating that...
"Win, lose, or draw, we will be in the fight!"
In March 2021, the US SEC filed a lawsuit against LBRY, accusing the company of unlawfully selling LBC tokens without registering with the agency.
In November 2022, the SEC further charged LBRY with violating securities laws by selling their native LBC tokens without a license, citing a breach of section 5 of the Securities Act 1933.
The SEC classified LBC as an unregistered security based on the Howey test.
Consequently, the New Hampshire District Court mandated LBRY to pay a $22 million penalty.
LBRY contested this, contending that the penalty did not account for legitimate software development and hosting expenses. Unfortunately, LBRY lost this legal battle in July 2023.
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