Trump will pay $25 million to settle university lawsuits
SAN DIEGO — For more than six years, Donald Trump fought hard against a lawsuit in which former customers of his now-defunct Trump University accused him of fraud. Less than two weeks after being elected president, he agreed to a $25 million settlement.
“We definitely detected a change of tone and change of approach” after the election, plaintiff attorney Jason Forge said when the agreement was announced Friday.
About 7,000 students would be eligible for refunds if U.S. District Judge Gonzalo Curiel approves the settlement. Under the terms, Trump admits no wrongdoing in settling two federal class-action lawsuits in San Diego and a civil suit brought by New York Attorney General Eric Schneiderman.
The agreement came 10 days before jury selection was scheduled to begin in San Diego in the oldest case, which was filed in April 2010. The complaint accused Trump University, which wasn’t an accredited school, of defrauding students who paid up to $35,000 a year for programs that promised to share real estate secrets.
Trump denied the allegations and said during the campaign that he would not settle. He told supporters at a May rally that he would come to San Diego to testify after winning the presidency.
“I could have settled this case numerous times but I don’t want to settle cases when we’re right. I don’t believe in it. And when you start settling cases, you know what happens? Everybody sues you because you get known as a settler. One thing about me, I am not known as a settler,” Trump said at the time.
Forge said the agreement was reached an hour before a hearing for Curiel to weigh Trump’s latest request to delay the trial until after the Jan. 20 inauguration. The plaintiffs’ attorney said U.S. District Judge Jeffrey Miller’s role as a mediator was “very critical.”
