Judge Rules for E Jean Carroll: $5.8M from Trump Escrow Released After High Court Rejection

Background of the Legal Dispute

A Manhattan federal court judge has ordered the release of more than $5 million Donald Trump owes E Jean Carroll following her successful 2023 defamation trial against him. The case involved jurors determining that he unlawfully imputed Carroll's reputation with false, vitriolic denials. Trump had deposited this amount, plus 11% interest, into a court-controlled account about six weeks after Carroll’s win. Judge Lewis Kaplan’s order directs the disbursement of these funds, which now total some $5.8 million due to interest accrual. The order comes more than three years after Carroll bested Trump in her bombshell civil case; jurors determined that he unlawfully imputed Carroll's reputation with false statements made during his presidency.

Funds Held in Escrow

Trump had deposited $5 million plus 11% interest into a court-controlled account about six weeks after Carroll’s victory in the trial. As of now, due to interest accrual, the total amount held in this escrow account has grown to around $5.8 million. The funds were placed under these conditions as part of an agreement with Carroll and her legal team, ensuring that if certain appeals failed, she would be able to collect the money.

Supreme Court's Denial and Judge's Decision

On June 29, 2023, the Supreme Court rejected Trump’s appeal. In response to this decision, a Manhattan federal court judge ordered the release of these funds. The judge noted that the process had already been delayed by nearly four years due to repeated litigation across various court levels.

Legal Teams and Future Implications

E. Jean Carroll’s legal team argued strenuously for the immediate release of these funds after the Supreme Court decision. In a 30 June court filing, they stated that Trump was seeking to further delay the process by considering whether he should move for reconsideration of the Supreme Court’s denial of his petition.Donald Trump's legal team attempted to delay disbursement, arguing that they were considering a petition for reconsideration. They elaborated on their position in a 7 July letter, stating that Carroll’s interpretation of the agreement about releasing funds from the court-controlled account was incorrect and would result in an “unrecoverable loss” if the supreme court eventually ruled in Trump's favor.

Legal Experts' Opinions

Legal experts suggested that Kaplan's order all but guarantees that Carroll will soon receive the money. However, there are still some legal avenues left for Trump to pursue. He could ask Judge Kaplan for a stay of her decision or request a second circuit court of appeals for a stay.

Conclusion

Despite Donald Trump’s attempts to delay disbursement, it appears highly unlikely that he will succeed in reversing this outcome. The process is nearing its conclusion, and Carroll is expected to receive her judgment money soon. This resolution could have significant financial and legal implications for both parties involved in the long-standing dispute. The case underscores the challenges faced by victims of sexual abuse seeking justice through the courts, particularly when dealing with high-profile defendants like Donald Trump.

Sources: The Guardian, BBC, Al Jazeera