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Politics

Trump University Settles Lawsuits For $25M

Protesters on the scene at the downtown San Diego courthouse where the Trump University case is being heard, Nov. 18, 2016.
Kris Arciaga
Protesters on the scene at the downtown San Diego courthouse where the Trump University case is being heard, Nov. 18, 2016.

UPDATE: 1:23 p.m., Nov. 18, 2016

New York's attorney general says President-elect Donald Trump has agreed to a $25 million settlement to resolve three lawsuits over Trump University, his former school for real estate investors.

The deal announced Friday by Attorney General Eric Schneiderman would settle two class-action lawsuits in San Diego and a civil suit filed by Schneiderman.

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The suits had alleged that Trump University failed to deliver the quality real estate investing education it promised.

Schneiderman says the $25 million to be paid by Trump or one of his business entities includes restitution for students and $1 million in penalties to the state.

The deal doesn't require Trump to acknowledge wrongdoing.

Messages left with Trump's attorneys weren't immediately returned. Trump has strongly denied the allegations and said during the campaign that he wouldn't settle.

Original post

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A federal judge in San Diego will consider arguments Friday on President-elect Donald Trump's latest request to delay a civil fraud trial involving his now-defunct Trump University until after his inauguration on Jan. 20.

Trump's attorneys said in a court filing last week that preparations for the White House were "critical and all-consuming." Six months ago, when they unsuccessfully sought a delay until after Inauguration Day, lead attorney Daniel Petrocelli said the period between the election and swearing-in is extremely hectic for a president-elect but that it was preferable to a trial during the campaign.

RELATED: Trump University Customer: ‘Gold Elite’ Program Nothing But Fool’s Gold

"The task is momentous, exceedingly complex, and requires careful coordination involving the respective staffs and teams of both President (Barack) Obama and President-Elect Trump," Trump's attorneys wrote. "In fewer than three months, the President-Elect must be prepared to manage 15 executive departments, more than 100 federal agencies, 2 million civilian employees, and a budget of almost $4 trillion."

Donald Trump, left, listens as Michael Sexton introduces him at a news conference in New York where he announced the establishment of Trump University, May 23, 2005.
Associated Press
Donald Trump, left, listens as Michael Sexton introduces him at a news conference in New York where he announced the establishment of Trump University, May 23, 2005.

Trump's attorneys also raised the prospect of having the president-elect testify by video recording before the trial begins in the class-action lawsuit on Nov. 28.

U.S. District Judge Gonzalo Curiel is eager to get the 6½-year-old case to trial and gave no sign that he was inclined to grant a delay during a hearing last week in which Petrocelli argued that demands of the transition justified putting it off until early next year.

President-Elect's Attorneys To Argue For Delay In Trump University Trial
Judge Gonzalo Curiel in San Diego will hear arguments Friday on Donald Trump's latest request to delay the civil fraud case until after his inauguration on Jan. 20. The trial is set to begin Nov. 28.

The former students allege that Trump University failed to deliver on its promise to teach success in real estate through programs that cost up to $35,000, misleading them by calling it a university when it wasn't an accredited school and by saying that Trump "hand-picked" instructors. Trump has strongly denied the claims.

Plaintiff attorneys oppose a delay, saying that one of three lead plaintiffs, Sonny Low, has medical issues and will be 75 years old when the trial begins. The say a delay would be "a slippery slope" because Trump's schedule will become more complicated and unpredictable.

"This trial, like so many Trump University student-victims' credit-card bills, is past due," they wrote in a court filing.

Trump faces two similar complaints over the venture, one in New York and the other a class-action lawsuit in San Diego.