Donald Trump has settled his Trump University fraud case for $25 million, New York Attorney General Eric T. Schneiderman said in a statement on Friday.
“Today’s $25 million settlement agreement is a stunning reversal by Donald Trump and a major victory for the over 6,000 victims of his fraudulent university,” Schneiderman said.
Trump University had been the subject of three lawsuits, including the fraud case brought on by Schneiderman and two California class action lawsuits brought by students who claimed Trump University’s real estate seminars — which cost as much as $35,000 — were worthless. According to Reuters, Friday’s settlement covers all three cases.
In addition to restitution for Trump University students, the $25 million settlement also includes a $1 million penalty to be paid to the state of New York for violating its education laws. Attorneys for both sides have not yet responded to TheWrap’s request for comment.
“The victims of Trump University have waited years for today’s result and I am pleased that their patience — and persistence — will be rewarded by this $25 million settlement,” Schneiderman said.
The president-elect has previously defended himself against claims made in the suit, saying in part: “Throughout the litigation my attorneys have continually demonstrated that students who participated in Trump University were provided a substantive, valuable education … Over a five year period, more than 10,000 paying students filled out surveys giving the courses high marks and expressing their overwhelming satisfaction with Trump University’s programs.”
While on the campaign trail earlier this year, Trump repeatedly said he never settles lawsuits. In a February tweet, the then-candidate vowed to never settle the Trump University lawsuits “out of principle.”
“I don’t settle lawsuits,” he said at a rally during the Republican primary season. “Probably should have settled it, but I just can’t do that. Mentally I can’t do it. I’d rather spend a lot more money and fight it.”
Pamela Chelin contributed to this report.