Skip to main content

FM
Former Member

Donald Trump Agrees to Pay $25 Million in Trump University Settlement

Donald J. Trump in 2005, when he announced the establishment of Trump University. Credit Bebeto Matthews/Associated Press

Donald J. Trump has reversed course and agreed to pay $25 million to settle a series of lawsuits stemming from his defunct for-profit education venture, Trump University, finally putting to rest fraud allegations by former students, which have dogged him for years and hampered his presidential campaign.

The settlement was announced by the New York attorney general on Friday, just 10 days before one of the cases, a federal class-action lawsuit in San Diego, was set to be heard by a jury. The deal, if approved, averts a potentially embarrassing and highly unusual predicament: a president-elect on trial, and possibly even taking the stand in his own defense, while scrambling to build his incoming administration.

Replies sorted oldest to newest

Donald Trump Agrees to Pay $25 Million in Trump University Settlement

Donald J. Trump has reversed course and agreed to pay $25 million to settle a series of lawsuits stemming from his defunct for-profit education venture, Trump University, finally putting to rest fraud allegations by former students, which have dogged him for years and hampered his presidential campaign.

The settlement was announced by the New York attorney general on Friday, just 10 days before one of the cases, a federal class-action lawsuit in San Diego, was set to be heard by a jury. The deal, if approved, averts a potentially embarrassing and highly unusual predicament: a president-elect on trial, and possibly even taking the stand in his own defense, while scrambling to build his incoming administration.

It was a remarkable concession from a real estate mogul who derides legal settlements and has mocked fellow businessmen who agree to them.

But the allegations in the case were highly unpleasant for Mr. Trump: Students paid up to $35,000 in tuition for a programs that, according to the testimony of former Trump University employees, used high-pressure sales tactics and employed unqualified instructors.

The agreement wraps together the outstanding Trump University litigation, including two federal class-action cases in San Diego, and a separate lawsuit by Eric T. Schneiderman, the New York attorney general. The complaints alleged that students were cheated out of thousands of dollars in tuition through deceptive claims about what they would learn and high-pressure sales tactics.

β€œI am pleased that under the terms of this settlement, every victim will receive restitution and that Donald Trump will pay up to $1 million in penalties to the State of New York for violating state education laws,” Mr. Schneiderman said in a statement. β€œThe victims of Trump University have waited years for today’s result, and I am pleased that their patience β€” and persistence β€” will be rewarded by this $25 million settlement.”

The settlement marks a significant reversal from Mr. Trump, who had steadfastly rejected the allegations and vowed to fight the lawsuits, asserting that students filled out evaluations showing they were mostly happy with what they had learned in seminars. When political opponents pressed him on the claims during the campaign, Mr. Trump doubled down, saying he would eventually reopen Trump University.

β€œIt’s something I could have settled many times,” Mr. Trump said during a debate in February. β€œI could settle it right now for very little money, but I don’t want to do it out of principle.”

He added: β€œThe people that took the course all signed β€” most β€” many β€” many signed report cards saying it was fantastic, it was wonderful, it was beautiful.”

But the position of Mr. Trump and his legal team appeared to soften soon after his election on Nov. 8. At a hearing last week, Daniel Petrocelli, a lawyer for Mr. Trump, expressed interest in moving toward a settlement. Meanwhile, Mr. Trump’s lawyers were seeking to delay the trial in one of the California cases until after his inauguration on Jan. 20, while also requesting that he be allowed to testify on video.

β€œThe time and attention to prepare and testify will take him away from imperative transition work at a critical time,” Mr. Petrocelli wrote in the request to the judge, Gonzalo Curiel, last week, noting the β€œthousands” of appointments that President-elect Trump needed to make in the weeks ahead.

Mr. Curiel, the federal district court judge who is hearing the two California cases, was thrust into the limelight of the campaign in May when Mr. Trump spent several minutes at a rally denouncing the judge’s decisions in the case, calling him a β€œhater” and questioning his impartiality because of his Mexican heritage.

β€œI’m building the wall, I’m building the wall,” Mr. Trump said in an interview with The New York Times in June. β€œI have a Mexican judge. He’s of Mexican heritage. He should have recused himself, not only for that, for other things.”

After he faced days of criticism for his remarks on the judge, Mr. Trump released a statement saying his words had been β€œmisconstrued as a categorical attack against people of Mexican heritage.” He also asserted that he was justified in questioning the fairness of his trial, given various rulings in the case that went against him. Still, he concluded, β€œwe will win this case!”

Even before he was in the throes of his presidential bid, Mr. Trump began mounting a vigorous public defense of himself and Trump University. A website, 98perentapproval.com, touted high marks it received from students. A New York Times report in March, though, showed how some students recalled being pressured to give positive reviews.

Trump University, which operated from 2004 to 2010, included free introductory seminars across the country, focusing largely on real estate investing and learning Mr. Trump’s secrets. Students could then purchase more expensive packages costing up to $35,000.

Documents made public through the litigation revealed that some former Trump University managers had given testimony about its unscrupulous and exploitative business practices. One sales executive testified that the operation was, β€œa faΓ§ade, a total lie.” Another manager called it a β€œfraudulent scheme.”

Other records showed how Mr. Trump had overstated the depth of his involvement in the programs. Despite claims that Mr. Trump had hand-picked instructors, he acknowledged in testimony that he had not.

FM

It's not about being a deal maker Chief.......it's about the integrity of the man who will soon hold the highest office in the land.

This is what he said....β€œIt’s something I could have settled many times,” Mr. Trump said during a debate in February. β€œI could settle it right now for very little money, but I don’t want to do it out of principle.”

S let's praise him for the bestest ever, most-brilliant, got-one-over-ya, deal maker. Yeah....let's focus on deal maker. Let him make a deal with the people he appointed to National Security, State and Defense and have a national Registry of Muslims. Yeah, let's celebrate this brilliant deal-making. Maybe some will clap hands because it will only be for Muslims from the Arab Middle East and Asian Pakistan and Afghanistan. Whatever...we will celebrate this brilliant deal-maker.

Kari
Kari posted:

It's not about being a deal maker Chief.......it's about the integrity of the man who will soon hold the highest office in the land.

This is what he said....β€œIt’s something I could have settled many times,” Mr. Trump said during a debate in February. β€œI could settle it right now for very little money, but I don’t want to do it out of principle.”

S let's praise him for the bestest ever, most-brilliant, got-one-over-ya, deal maker. Yeah....let's focus on deal maker. Let him make a deal with the people he appointed to National Security, State and Defense and have a national Registry of Muslims. Yeah, let's celebrate this brilliant deal-making. Maybe some will clap hands because it will only be for Muslims from the Arab Middle East and Asian Pakistan and Afghanistan. Whatever...we will celebrate this brilliant deal-maker.

Yo Karimullah, 

You need to chill brother.  Give the man a chance to govern. This country is not a dictatorship like Guyana. Trump will not be able to deport you to Guyana, even if he wanted to  

V

VishMaha, yuh got a problem with what I said? A Registry based on religion harks back to the days of Japanese internment. You're dumb to mention deportation. Trump wants to do surveillance and ban Muslims from the Middle East, not Anywehere else. You show your bigotry towards Muslims. Thankfully the Congress, the Supreme Court, the media and society will never grant him that wish. Keep living in your mefieval racist bubble.

Kari
Kari posted:

VishMaha, yuh got a problem with what I said? A Registry based on religion harks back to the days of Japanese internment. You're dumb to mention deportation. Trump wants to do surveillance and ban Muslims from the Middle East, not Anywehere else. You show your bigotry towards Muslims. Thankfully the Congress, the Supreme Court, the media and society will never grant him that wish. Keep living in your mefieval racist bubble.

Like I said...you going into panic mode, since the election. Your comments confirm what I said. There is no way Trump will get away with doing some of the things he said he will do.

Having said this...some kind of registry should be established, not for Muslims, but for potential terrorists. America had a right to protect its borders...like every other country. America has too many porous borders. Your primary concern here is that the US will target Muslims. But it is ironic that terrorists mostly seem to come from a particular region or share allegiance to a particular religion. Does this make a person a racist and dumb for pointing this out. As citizens we all need to live in a safe environment.

If Guyana kept a registry of all the potential criminals being deported by the US, we would be in a better position to control crime.   

V

Kari has been in a panic mode since election night. The sun has not risen for him since Trump won. Trump is busy filling the white house and cabinet posts and that is what we should focus on. Kari post only negative news about Trump that doesn't attract posters attention. I don't know if he gets sleep at night. This chap amazed me.

FM

Vish Mahabir

The type of hateful hype that you are spewing about registry for Muslims because less than .001 percent commit acts of terorism is what have Kari and all Muslims concerned. When the Mafioso was shaking down every industry  at one time, did anyone call for a registry of all Italians ? 

COBRA,

Kari has every right to be concerned because of all the inflamatory and threatening statement ts that Donald Trump made for the past 18 months.

YOU guys are clapping your hands in glee all because  he mentioned Muslims.Remember that how dictators and dangerous leaders start, by identifying one group and then slowly they move to others.  Now it is by religion and slowly he will start moving up the ladder and soon everyone will be target.

Donald Trump had his daughter present at a head of state meeting yesterday. you tell me if something is not starting to smell.

I am all for let's see how and what he will do well he start doing stop things already.

 

Chief
VishMahabir posted:
 

Having said this...some kind of registry should be established,

Trump has selected people who brand Muslims as evil people. Kari will be stupid to be complacent.  And as some one of South Asian extraction, so should you be.  As far as these people are concerned any one of Middle Eastern or South Asian extraction should have no rights that should respected. Sikhs are regularly harassed, even though they aren't Muslims.

FM

The Intelligence community knows what works in fighting terrorism and they will make that known to all Trump's advisors and appointees. They're the ones who said the Registry of Muslims in America made no sense. Why would I be complacent Caribny? I do not worry about such things as a proposed reinstatement of a Muslim Registry as I know it is impractical, costly and doesn't help in the fight against terrorism. The Congress knows that also. It's these anti-Muslim Guyanese on this Board who want to fetch some dumb sh1t about Muslims that I address.

Kari

Kari all the rules that existed in sane times don't matter now.  I know that you know what Flynn, Sessions, and others think of Muslims.

The Japanese in WWII swore as loyal Americans they wouldn't be put in concentration camps.

Better hope that some confused French, Belgian, or American kid who comes from a Muslim family doesn't do anything stupid.

FM
Kari posted:

The Intelligence community knows what works in fighting terrorism and they will make that known to all Trump's advisors and appointees. They're the ones who said the Registry of Muslims in America made no sense. Why would I be complacent Caribny? I do not worry about such things as a proposed reinstatement of a Muslim Registry as I know it is impractical, costly and doesn't help in the fight against terrorism. The Congress knows that also. It's these anti-Muslim Guyanese on this Board who want to fetch some dumb sh1t about Muslims that I address.

They don't need to build a registry, they already have one.  They now need to track the web, dark web and visits to Islamic sites and try to filter out the potential trouble makers!

The Intelligence community still have a kid-glove approach.  How come the bearded extremist was able to set off bombs on NY/NJ?

FM
caribny posted:
VishMahabir posted:
 

Having said this...some kind of registry should be established,

Trump has selected people who brand Muslims as evil people. Kari will be stupid to be complacent.  And as some one of South Asian extraction, so should you be.  As far as these people are concerned any one of Middle Eastern or South Asian extraction should have no rights that should respected. Sikhs are regularly harassed, even though they aren't Muslims.

Middle East people can blend in with the whites. They have nothing to fear. Would John Sununu and his son be attacked on the streets for being Arabs. Hell no. A Sikh has a better chance being attacked for being mistaken for being an Arab.

Prashad
Last edited by Prashad

Add Reply

×
×
×
×
×
Link copied to your clipboard.
×
×