Trump University's Promise and Settlement

2016-12-19

Trump University's Promise and Settlement

unresolved

Promised: 2010-01-01In 2010, a Trump University advertisement promised learning from a Donald Trump hand-picked instructor using a systematic real-estate method.Open cited record · 1 source
The record: 2016-12-19The parties reached a settlement on December 19, 2016 that allocated funds between class members and the New York action, with no defendant admitting wrongdoing.Open cited record · 1 source2017-03-31The district court recorded that Trump University's successor paid the full $25 million into escrow, including $4 million distributed to the New York Attorney General, and approved the settlement.Open cited record · 2 sources
Who gained: Eligible former Trump University students
New York Attorney General settlement fund
Court-approved settlement escrow
Who paid: Eligible former Trump University students
Trump University successor entity
Audit finding: unresolved
The marketing representations, disputed student experience and funded settlement are documented, but the global settlement prevented a merits judgment on the fraud allegations and included no admission of wrongdoing.
Causal strength: source attributed

Evidence chronology

promise2010-01-01documented
In 2010, a Trump University advertisement promised learning from a Donald Trump hand-picked instructor using a systematic real-estate method.
- New York State Unified Court System: People v. Trump Entrepreneur Initiative LLC, 137 A.D.3d 4092016-03-01 · Pages 5-6, 2010 workshop advertisement and alleged representations
Open underlying ledger entry
action2016-12-19documented
The parties reached a settlement on December 19, 2016 that allocated funds between class members and the New York action, with no defendant admitting wrongdoing.
- United States Court of Appeals for the Ninth Circuit: Low v. Trump University, LLC, No. 17-556352018-02-06 · Pages 8-9, settlement date, components and no-admission term
Open underlying ledger entry
outcome2017-03-31documented
The district court recorded that Trump University's successor paid the full $25 million into escrow, including $4 million distributed to the New York Attorney General, and approved the settlement.
- U.S. District Court for the Southern District of California: Low v. Trump University, Final Approval Order2017-03-31 · Document 618, pages 3-4, escrow funding and New York component
- United States Court of Appeals for the Ninth Circuit: Low v. Trump University, LLC, No. 17-556352018-02-06 · Pages 8-9, settlement date, components and no-admission term
Open underlying ledger entry
administration response2016-06-07documented
Trump said students overwhelmingly approved the program and denied the fraud allegations.
- The American Presidency Project: Statement by Donald J. Trump Regarding Trump University2016-06-07 · Full statement
Open underlying ledger entry
limitation2018-04-10reported
Independent reporting described the settlement as final after the remaining objector withdrew, while retaining the no-admission posture.
- Reuters: Trump University settlement now final as objector drops appeal2018-04-10 · Settlement finality, amount and no-admission paragraphs
Open underlying ledger entry

Money calculations

restitutionTrump University Settlement$25 million settlement fund
realized · 2017-03-31 · observedPopulation Trump University successor entity; Court-approved settlement escrow; Eligible former Trump University students; Eligible former Trump University students; New York Attorney General settlement fundPeriod 2016-12-19 to 2017-03-31Basis Use the district court's record of the full amount paid into escrow; do not add the $21 million and $4 million components again.Limits No admission of wrongdoing; this calculation records escrow funding, not the timing or amount of each later class-member distribution.Open cited evidence

Responses, contrary evidence, and limitations

administration response
Trump said students overwhelmingly approved the program and denied the fraud allegations.
limitation
Independent reporting described the settlement as final after the remaining objector withdrew, while retaining the no-admission posture.