3 Million in Civil Defamation Trial

In a recent civil defamation trial, former President Donald Trump has been ordered by a New York City jury to pay a staggering $83.3 million in damages to former Elle columnist E. Jean Carroll. The trial centered around statements made by Trump in 2019, where he dismissed Carroll's allegations of sexual assault against him.

The jury's decision includes $7.3 million in compensatory damages, $11 million for reputational repair, and a whopping $65 million in punitive damages. This is the second civil defamation trial that Trump has faced in relation to Carroll's claims, having been previously ordered to pay her $5 million in damages last year.

Reacting to the verdict, Trump expressed his disagreement and stated his intention to appeal via his social media platform, Truth Social. He referred to the trial as a "Biden Directed Witch Hunt" targeting him and the Republican Party.

However, attorneys have warned that these substantial damages could pose liquidity issues for the former president. Attorney Harry Litman explained that if Trump wishes to appeal the punitive damages, he would need to post a bond amounting to $65 million.

This potential financial setback could require Trump to liquidate some of his properties, as suggested by Litman. Glenn Kirschner, a former assistant U.S. attorney, also highlighted the amount of money and equity Trump may need to use for an appeal bond.

With ongoing legal battles and potential bankruptcy concerns, Trump's financial situation could become even more precarious. In addition to the damages he needs to pay Carroll, Trump also faces a civil fraud trial initiated by New York Attorney General Letitia James. This trial will determine the extent of Trump's financial liabilities based on accusations of fraud, falsifying records, insurance fraud, and conspiracy claims.

Ciara Torres-Spelliscy, an associate professor of law, outlined the possibility of these combined cases triggering bankruptcy. However, attorney Bradley Moss believes that Trump's actual assets may prevent him from facing bankruptcy.

As the legal proceedings unfold, the financial burden imposed by the recent verdict, as well as the pending civil fraud trial, may have substantial implications for Trump's financial well-being. Only time will tell how these challenges will impact the former president's future financial stability.