Trump plans to settle Trump University fraud cases: report

Los Angeles /
Nov.November 18, 2016 09:30 AM

From the New York website: President-elect Donald Trump is close to a settlement agreement for Trump University fraud lawsuits in California and New York, according to a source who spoke with CNBC on Friday. As terms of the reported settlement, Trump will admit no wrongdoing. The total sum of the settlement is expected to be between $20 and $25 million, the news outlet reported.

In a statement, a spokesperson for New York Attorney General Eric Schneiderman, who brought the case against Trump in New York, said the office “has always been open to a settlement that fairly compensates the many victims of Trump University who have been waiting years for a resolution.”

Lawsuits in both states were filed by former students of Trump’s “university,” a series of classes designed to teach would-be real estate investors the ropes of the property biz. The lawsuits claim, among other things, that Trump University misled customers into believing that they would be receiving classes from teachers hand-picked by Donald Trump himself and required teachers to pressure students into buying the most expensive class packages, including a $35,000 “Gold Elite” program. Schneiderman, who called Trump University a “bait-and-switch” scheme, sued Trump for $40 million.

Trump, who brags about his unwillingness to settle litigation, previously refused to settle these suits. He several times moved to dismiss them, but that was before he was elected as the 45th President of the United States on Tuesday, Nov. 8. In a May outburst, Trump suggested that California Judge Curiel’s Mexican heritage made him too biased to properly preside over the case in San Diego. Last week, Trump lawyers filed a motion to postpone the California trial until after his January inauguration. [CNBC]Will Parker 


Related Articles

arrow_forward_ios
From left: Robert Zangrillo, Geoff Palmer, Tom Barrack and President Donald Trump (Getty, iStock)
Trump’s people claim Geoff Palmer and Tom Barrack backed Zangrillo pardon
Trump’s people claim Geoff Palmer and Tom Barrack backed Zangrillo pardon
From left: Jeff Worthe, Joyce Rey, Geoff Palmer, Jaime Lee and Frank Gehry (Credit: Alberto E. Rodriguez/Getty Images, Jonathan Leibson/Getty Images, Grant Smith/Construction Photography/Avalon/Getty Images)
Here are LA’s real estate players who donated to Biden and Trump in 2020
Here are LA’s real estate players who donated to Biden and Trump in 2020
From left: Jason Segel, Donald Trump, Shaun White White, and Dr. Dre (Credit: Getty Images)
This week in celeb real estate: Trump leaves Beverly Hills, Dr. Dre buys in Pacific Palisades… and more
This week in celeb real estate: Trump leaves Beverly Hills, Dr. Dre buys in Pacific Palisades… and more
Donald Trump has sold his home in Beverly Hills (Credit: Getty Images, and Google Maps)
Trump Org sells off Beverly Hills home
Trump Org sells off Beverly Hills home
Gavin Newsom, Donald Trump and a rendering of the train
Trump derails $929M in funding for the bullet train, jeopardizing construction
Trump derails $929M in funding for the bullet train, jeopardizing construction
Donald Trump and Sam Zell (Credit: Getty Images)
Zell on Trump: President’s tax documents showing massive losses “don’t tell much of a picture”
Zell on Trump: President’s tax documents showing massive losses “don’t tell much of a picture”
President Trump said to acknowledge talks about Moscow skyscraper continued through election night
President Trump said to acknowledge talks about Moscow skyscraper continued through election night
President Trump said to acknowledge talks about Moscow skyscraper continued through election night
Trump’s “new NAFTA” deal with Canada could be relief for developers
Trump’s “new NAFTA” deal with Canada could be relief for developers
Trump’s “new NAFTA” deal with Canada could be relief for developers
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...