Santa Clara, CA:A $25 million settlement has received approval ending a consumer fraud class action lawsuit against President Donald Trump that alleged his now defunct Trump University ran a “bait-and-switch scheme.”
According to the plaintiffs, the scheme deliberately mislead students into believing Trump himself designed the courses on offer at Trump University, courses that would ultimately lead to students getting rich from real estate. Additionally, the plaintiffs claimed that Trump used high-pressure sales techniques and bogus claims to promote the university’s curriculum.
More than 3,700 former students in class-action suits in California and New York will receive over 90 cents on every dollar they spent at Trump University, which the plaintiffs consider the best compensation they will likely get in litigation that has lasted years.
The lawsuits alleged Trump University gave nationwide seminars that were like infomercials, constantly pressuring people to spend more and, in the end, failing to deliver on its promises.
A 2016 report by Ina Jaffe of National Public Radio revealed that Trump students paid $1500 to $35,000 for courses on “real estate investment secrets” ostensibly taught by instructors handpicked by Trump. Throughout his election campaign, Trump repeatedly stated that he would never settle “out of principle". However, he has agreed to settle.
According to the terms of the deal, Trump admits no wrongdoing.
