Trump University (also known as Trump Wealth Institute and Trump Entrepreneur Initiative LLC ) is an American nonprofit educational company that manages real estate training programs of the year 2005 to 2010. It is owned and operated by The Trump Organization. (A separate organization, Trump Institute, licensed by Trump University but not owned by the Trump Organization.) After several lawsuits, it now does not work. The company was founded by Donald Trump and his colleagues, Michael Sexton and Jonathan Spitalny, in 2004. The company offers courses in real estate, asset management, entrepreneurship, and wealth creation.
The organization is not an accredited university or college. It does not confer college credits, grant degrees, or give value to its students. In 2011, the company became the subject of an investigation by the New York Attorney General's office for illegal business practices resulting in a lawsuit filed in 2013.
Trump University is also the subject of two class action lawsuits in federal court. The lawsuit centers around the notion that Trump University tricked its students by using misleading marketing practices and engaging in aggressive sales tactics. The company and the lawsuit against it received a renewed interest in the nomination of Trump in the 2016 presidential election. Despite repeatedly insisting that he would not be satisfied, Trump completed the three lawsuits in November 2016 for a total of $ 25 million after being elected president.
Video Trump University
Histori
Michael Sexton made a business plan for a real estate training program and handed it to Donald Trump to pay Trump for a fixed fee for the use of his name. Trump decides instead that he wants to be the ultimate owner.
Trump University was founded in 2004 by Trump, Sexton, and Spitalny, as a limited New York company. Donald Trump owns 93% of the company's shares. On May 23, 2005, Trump University officially launched its educational program. At the opening presentation, Trump said: "If I had the choice to make a lot of money or inculcate a lot of knowledge, I thought I would gladly embed the knowledge to make money." The company's original business plan focused on online education, but quickly expanded to include direct and direct instruction. The focus of the instruction is real estate investment, with Trump claiming in advertisements, "I can turn anyone into a successful real estate investor, including you." Usually the instruction begins with a preliminary seminar in a rented room like a hotel ballroom. At the introductory seminar, students were urged to enroll additional classes, ranging from $ 1495 seminars to $ 35,000 "Golden Elite Program". The resulting recording indicates a total of 7611 tickets sold to customers attending the course. About 6000 of these tickets are for a $ 1,500 3-day course and 1000 tickets for silver, gold or elite companions courses ranging from $ 10,000 to $ 35,000.
Trump claims that students give 98% favorable reviews for the program. But according to some former students, Trump University employees are pressuring students to offer good reviews, telling them they need to fill out a form to get a graduation certificate, and not carrying out frequent procedures to ensure that the survey is filled objectively.
In infomercials, Trump says he "selects himself" Trump University instructor. He testified at the 2012 deposition, however, that he never picked an instructor for the program. According to Michael Sexton, Trump signed a school ad. For the time in 2008 used the name Trump Wealth Institute. In June 2010, "Trump University" changed its name to "The Trump Entrepreneur Initiative." This largely ceased operations in 2010.
The Trump Institute is a separate business. It was licensed by Trump University and Donald Trump received a piece of every seat sold, but Trump University has no part of it. It is owned and operated by Irene and Mike Milin from Boca Raton, Florida. It offers real estate seminars from 2006 to 2009, where the license agreement expires and is not updated. Trump himself was not involved in the Trump Institute operation, but he recorded the infomercials that promoted it and appeared in the introductory video before each seminar.
Maps Trump University
Allegations of disputes and lawsuits
Three lawsuits were filed stating that Trump University is involved in a variety of illegal business practices, ranging from false claims to extortion. Two are class-action lawsuits: one against Trump University and his manager, including Donald Trump, and one against Donald Trump personally. The third case was filed in a New York court.
New York v. Trump Entrepreneur Initiative LLC
In 2005, the New York State Department of Education sent a letter to Trump, Sexton and Trump University saying that they violated state law using the word "university" when Trump University actually was not actually hired as one and did not have the license required to offer direct instruction or training. Although Sexton promised that the organization would stop teaching students in New York State, the New York Attorney General alleges that such instructions are continuing.
The March 2010 letter sent by the Deputy Commissioner for Higher Education, Joseph Frey, to Trump states: "The use of the word 'university' by your company is misleading and violates New York Education Law and Regent Board Regulations." In June 2010, "Trump University" changed its name to "The Trump Entrepreneur Initiative."
On August 24, 2013, the State of New York filed a $ 40 million civil suit against Trump University accusing illegal business practices and false claims made by the company. Donald Trump denied the allegations, claiming that the school had a 98% approval rating, and said New York Attorney General Eric Schneiderman was "a political hoax seeking publicity". Trump filed a complaint stating that the state Attorney General's inquiry was accompanied by a donation search campaign; The complaint was investigated by the New York ethics council and dismissed in August 2015. Due to strict secrecy laws, it is unknown whether the complaint was rejected because Trump's claim was incorrect, or because Schneiderman's allegations did not violate any ethical rules.
Schneiderman describes Trump University as a bait-and-switch scheme and points to the fact that the organization is not a university. He accused Trump of misleading more than 5,000 people to pay up to $ 35,000 to learn his real estate investment techniques.
In October 2014, a New York judge found Trump personally responsible for operating the company without the required business license.
Legal suit in federal court
Low v. Trump University, LLC
Tarla Makaeff, who paid nearly $ 60,000 to Trump University in 2008, brought a class action lawsuit against Trump University on April 30, 2010, in the US District Court for Southern California. The lawsuit, Makaeff v. Trump University, LLC, seeks refunds for Makaeff and other former Trump University clients, as well as punitive damages for breach of contract, fraud, negligent negligence and bad faith. Initially did not call Donald Trump as the defendant, but did so in a complaint that was later changed. In February 2014, US District Court Judge Gonzalo P. Curiel rejected recognition for the national class that the plaintiff was requesting and recognized the lawsuit as a class action lawsuit from Trump University clients in three states - California, Florida, and New York about alleged violation of consumer protection law of these countries. He also narrowed the case to five original indictments of fourteen plaintiffs.
On May 26, 2010, Trump University filed a counter-complaint stating that Makaeff had made a slanderous statement about Trump University, "including many false allegations of real crime", which caused Trump University to lose more than $ 1 million. On 30 June 2010, Makaeff retaliated that Trump University's defamation claim was an attempt to intimidate him, known as the SLAPP lawsuit (a strategic suit against public participation), and that was because Trump University was a "public figure" claim of slander demanding proof that he "acting with real crime" when speaking and writing about Trump University. By applying the California anti-SLAPP law, Makaeff triggers a procedure that speeds up consideration of defamation claims without further discovery.
On August 23, 2010, US District Judge Irma E. Gonzalez ruled that Trump University was not a public figure, did not need to point out a crime on the part of Makaeff, and could proceed with defamation claims. Makaeff appealed to the Ninth Circuit Court of Appeals, where a three-judge panel voted unanimously on April 17, 2013, that Trump University is a "limited-purpose public figure" and that Trump University must show malice on the part of the Makaeff to make slander; he returned the case to the district court to consider the defamation claim against that standard. After additional direction, US District Judge Gonzalo P. Curiel decided to support Makaeff on June 16, 2014, and canceled the defamation claim. Makaeff then, at the invitation of the court, presented the proof of his fees and legal fees in connection with the libel trial process. He asked for $ 1.3 million, and on April 20, 2015 Curiel ordered Trump University to reimburse $ 798,000 in fees and legal fees Makaeff.
In November 2015, the district court ruled on a Trump motion for a summary decision. In a 44-page opinion, the court rejected the Trump motto for a summary assessment of most of the claims, finding that there were real issues about claims of plaintiffs about fraudulent practices and misinterpretations in ads that violated California, Florida, and New York Consumer Protection and business law and therefore letting this claim proceed to court. The court did not provide a summary assessment in support of Trump on the plaintiff's request for an order, as Trump University stopped enrolling students in July 2010 and no longer sold the same seminars or other programs.
On March 21, 2016, on objections from lawyers to Trump University, Curiel allowed Makaeff to step down as the main plaintiff, naming Sonny Low as his successor, resulting in a case title of Low v. Trump University, LLC .
Cohen v. Trump
On October 18, 2013, California businessman Art Cohen filed a civil suit, Art Cohen v. Donald J. Trump , in US District Court for Southern California, as a class action on behalf of consumers across America. Countries that purchase services known as "Live Events" from Trump University after January 1, 2007. This alleged violation of the RICO law, is basically a scheme to deceive. It accuses Trump of misrepresenting Trump University "to make tens of millions of dollars" while actually providing "both Donald Trump and the university." The lawsuit was named Donald Trump as the sole defendant and sought damages and damages, including punitive and treble damages.
In an order dated October 24, 2014, US District Judge Gonzalo P. Curiel certified the class filed by the plaintiff and ruled that Cohen had provided sufficient evidence to enable the lawsuit to continue. Alan Garten, general counsel for the Trump Organization, said Trump University would appeal against Curiel's verdict, which he said showed "a real disregard for the law". In October 2015, Garten also said that Trump would ask Curiel to resign because of his "hostility to Mr. Trump and his views". However, Trump's lawyers never filed a motion to resign, and according to lawyers such movements would lack the reward of the law and may be considered reckless.
In May 2016, Curiel set a trial on the lawsuit to begin November 28, 2016, following the US presidential election, with jury elections a few weeks earlier.
In August 2016, the district court dismissed the Trump motion for the summary decision, ruling that there was sufficient evidence against Trump for the case to be filed on the jury.
On November 10, 2016, Curiel rejected Trump's request to postpone the hearing until after his inauguration as president of the United States. At the same time, Curiel urges parties in lawsuits to work towards completion, and both sides agree to accept an offer from US District Judge Jeffrey T. Miller to facilitate such talks.
Public release of court documents
On May 27, 2016, Curiel granted a request by The Washington Post for public release of certain documents filed in the case. He notes that they are "routine" and many are readily available to the public. The information released includes "guidelines" documenting instructions for employees to use a hard sales approach, as well as deposition in which former employees say that Trump University has been cheated or lied to its students.
On August 2, 2016, the court rejected a request by The Washington Post and other media organizations for a public release of the testimony hours recorded from two Trump depots in Cohen, taken in November 2015 and January 2016. The transcript of the deposition has been released, showing "that Trump repeatedly suggests that he has never met an instructor at Trump University, even though the ad for the program shows that his staff has been singled out by real estate moguls." Trump's lawyers oppose the demand for released a video recording. Curiel decides that there is a legitimate public interest in the content of the deposition, but the interest is met through the public release of the transcript. The judge also noted that if the video was released publicly, it was "almost-inevitable" that the tape would be used in news accounts and political ads, which might harm pre-trial judges.
Trump's comment about Curiel
During a major campaign speech, Trump repeatedly referred to judges as "haters" and described them as "Spanish" or "Mexican" (Curiel was born in Indiana to parents who immigrated to the US from Mexico). Trump also said that Curiel should resign, although his lawyers say they are not planning to ask the judge to be excluded from the case. Curiel's only comment is to write in a procedural verdict that Trump has "put the integrity of the litigation in question". Trump's references to ethnic Curiel, as well as his comment that "one should look to" judges, jokes, expressed concern about the effect of commentary on judicial independence.
On June 7, 2016, Trump issued a long statement saying that his criticism of the judge had been "misinterpreted" and that his concern about Curiel's impartiality was not based on ethnicity alone, but also on the verdict in the case.
Settlement
On November 18, 2016 it was reported that Trump agreed to pay $ 25 million to settle a class action lawsuit and a New York suit. The settlement was reached ten days before San Diego class action was scheduled for trial. Of the $ 25 million, $ 21 million will be awarded to participants in a class-action lawsuit, $ 3 million will be sent to New York not covered by a class-action lawsuit, and a penalty of up to $ 1 million will be assessed by the state. New York to run an unlicensed university. The plaintiff's lawyers agreed to cancel the fee and work pro bono so as to maximize the amount to be given to some 7,000 former Trump University students who are part of the case. The settlement also determined that Trump, who had previously sworn he would never be satisfied, did not admit any mistakes. The settlement was mediated by US District Judge Jeffrey T. Miller, who offered his services to the parties on Nov. 10 at Curiel's request. Curiel approved the completion on March 31, 2017.
New York Attorney General Eric Schneiderman stated that the settlement and payment by Trump "was a stunning reversal by Donald Trump and a major victory for over 6,000 victims from his fraud university." Trump himself said that he set "for a fraction of the potential award" because he was too busy being the elected president to take him to court. He added, "The only bad thing about winning the Presidency is that I do not have the time to go through a long trial but win on Trump U. Too bad!"
The final payment of the settlement is postponed, as one class member opts out of the settlement to pursue an individual lawsuit. The district and appellate courts rejected the individual's claim, and Curiel completed the settlement in April 2018. Former students can now get a refund of up to 90% of the money they spend on the course.
Other investigations
In 2010, Texas Attorney General Greg Abbott's office investigated Trump University. No lawsuit was filed, but after exchanging communications with investigators â € <â € The Florida Attorney General's Office Pam Bondi announced in September 2013 that they are considering joining New York's lawsuit against Trump University. Four days later, Donald J. Trump Foundation donated $ 25,000 to "And Justice for All," a group of 527 supporting Bondi's reelection campaign. After this, Bondi refused to join New York in the lawsuit. According to a Bondi spokesman, Bondi personally requested a donation from Trump a few weeks before his office announced it would consider joining the lawsuit. In March 2016, Citizens for Responsibility and Ethics in Washington (CREW) filed a complaint to the IRS about potential illegal donations. In September 2016 it was reported that donations violated the law against the political contributions of nonprofit organizations, and that Donald Trump had replaced the foundation from his own money and paid the IRS excise tax of $ 2,500 as punishment. Trump denied that the donation was linked to the Trump University lawsuit, saying that it was for Bondi's performance as the attorney general.
Issues in 2016 presidential election campaign
During the Republican presidential prelude in 2016, the opponent of Trump's nomination uses Trump University to criticize him. Mitt Romney said in early March: "Donald Trump is a fraud, a fraud, his promises are as valuable as the title of Trump University." Senators Ted Cruz and Marco Rubio raised this topic during a televised debate in February and March. One of the debating moderators, Megyn Kelly of Fox News, pursued the matter at length. Trump replies that Trump University is a "small business" and very positive student evaluation. He said lawsuits are a routine part of business and he won most of them. One class action lawsuit he said was: "This is something I can approve many times, I can finish it now with very little money, but I do not want to do it because of principles." Hillary Clinton uses Trump University charges against Trump in speeches and campaign advertising.
In popular culture
Trump University was the subject of a week-long series on comic strip Doonesbury , in June 2005.
Trump University is also a source of jokes in a small episode of Will and Grace released in September 2016, made to vote for the 2016 presidential election. In it Karen says she sent her Latina helper, Rosario, to the University Trump for a course on "dust".
See also
- Donald Trump's legal affairs
- List of things called Donald Trump
- Non-accredited higher education institutions in the United States
Note
References
External links
- the Trump University website (archived February 7, 2010)
- The Trump Entrepreneur Entrepreneurs website (archived July 22, 2010)
- People from the State of New York v. The Trump Entrepreneur Initiative LLC , original complaint, August 2013
Source of the article : Wikipedia
0 Comments