Houston Chronicle

Judge approves $25M settlement in Trump University fraud case

- By Steve Eder and Jennifer Medina NEW YORK TIMES

A federal judge Friday gave final approval to a $25 million agreement to settle fraud claims arising from President Donald Trump’s for-profit education venture, Trump University, rejecting a last-minute objection to the deal.

The judge, Gonzalo Curiel in San Diego, issued his order after considerin­g a challenge from Sherri Simpson, a former Trump University student from Fort Lauderdale, Fla., whose lawyers say she should have had a chance to opt out of the class-action settlement and individual­ly sue Trump, perhaps forcing a trial.

The civil settlement was not enough for Simpson, who wanted to see Trump tried on criminal racketeeri­ng charges. She also wanted an apology.

But Curiel, in his ruling, sided with the class-action plaintiffs’ lawyers, who had urged him to approve the agreement, saying it was the best possible outcome for roughly 3,730 students. They could recoup more than 90 cents on the dollar of what they spent at Trump University.

“The court finds that the amount offered in settlement is fair, adequate, and reasonable, and accordingl­y concludes that this factor weighs in favor of final approval, “wrote Curiel, who approved the agreement and dismissed the objection in a 31-page order. It is subject to appeal.

The approval of the settlement, assuming it stands, brings to a close a case that garnered outsize national attention during Trump’s presidenti­al campaign. He faced two suits in California and a separate one in New York brought by Eric T. Schneiderm­an, the state attorney general.

The suits contended that Trump University students had been cheated out of thousands of dollars in tuition through highpressu­re sales techniques and false claims about what they would learn.

Trump and his lawyers continued to deny those claims, even after the settlement was first announced in November, soon after his election.

The plaintiff ’s lawyers — who said they would waive their fees after years of litigating the case — applauded the decision, with one of them, Jason Forge, saying in an interview that it would be “bulletproo­f ” if appealed. Forge said he was satisfied that former students, some of them elderly, would receive sizable payments as a result of the deal.

“Once in a long while, this profession yields some good feelings,” he said. “This is one of those times.”

It is unclear if Simpson will appeal, and Gary Friedman, her lawyer, did not return messages seeking comment.

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