The Real Deal Miami

Trump Organization settles lawsuit over Jupiter golf club dispute

Federal judge ordered Trump to pay $5.74M last year
February 27, 2018 06:00PM

Trump National Golf Club Jupiter and Donald Trump (Credit: Nicklaus, Wikipedia)

The Trump Organization has agreed to settle a lawsuit brought by at least 65 former members of Trump National Golf Club Jupiter, ending a dispute that began in 2013.

Trump agreed to pay the former members $5.45 million, or 94 percent, of the judgment ordered by a federal judge last year, an attorney for the plaintiffs told the Sun Sentinel.

A group of ex-Trump National Golf Club members filed a class action suit in 2013, about a year after President Trump bought the then-Ritz-Carlton Golf Club & Spa for $5 million. The property, off of Donald Ross Road at 115 Eagle Tree Terrace, had been losing as much as $4.1 million per year. And the sale came with the understanding that Trump was assuming liability for $41 million in refundable deposits that former members were waiting to receive.

Resigned members, who were previously allowed to use club facilities while waiting for their deposits, were barred from entrance. At the time, Trump wrote in a letter, “As the owner of the club, I do not want them to utilize the club nor do I want their dues. In other words…if you choose to remain on the resignation list, you’re out.”

The refundable memberships ranged from $35,000 to $210,000.

In August, the Trump Organization appealed the federal ruling, arguing that U.S. District Judge Kenneth Marra incorrectly ordered the company to repay members for improperly keeping their deposits. The settlement is still pending final approval. [Sun Sentinel] – Amanda Rabines