Key Developments

• A New York federal appeals court on Wednesday night rejected a request by President Donald Trump that E. Jean Carroll be prevented from collecting $5 million plus interest for damages from a jury verdict that held him civilly liable for sexually abusing and defaming the writer.
• This order came hours after Judge Lewis Kaplan mandated that Carroll receive nearly $5.8 million from funds Trump had previously deposited with the court to satisfy the May 2023 jury verdict.
• Trump's legal team argued that the funds should not be released until the Supreme Court definitively rules on the president's long-shot bid for reconsideration of his appeal of the verdict.
• The Supreme Court had previously denied this petition on June 29 without any noted dissents.

Background of the Case

The legal saga continues between writer E. Jean Carroll and former President Donald Trump, stemming from a jury verdict in May 2023 that found Trump civilly liable for sexually abusing and defaming Carroll. The initial jury awarded Carroll $5 million in damages.

Trump's lawyers had appealed the verdict and, in an attempt to delay payment, deposited the awarded sum with the court. However, Judge Lewis Kaplan, overseeing the case, has now ordered the release of these funds, plus accrued interest, totaling nearly $5.8 million, to Carroll.

The 2nd U.S. Circuit Court of Appeals' decision on Wednesday night means that Carroll can proceed with collecting the money while Trump's appeal of Judge Kaplan's disbursement order is considered separately. The appeals court did not rule on the merits of Trump's arguments for overturning Kaplan's order but denied the immediate request for an administrative stay.

Judge Kaplan's Rationale

Judge Kaplan, in his decision to release the funds, referenced an agreement between Carroll and Trump that stipulated the damages would be paid to Carroll if the Supreme Court denied Trump's petition to hear his appeal. The Supreme Court's denial on June 29 effectively triggered this condition.

Kaplan emphasized that disbursing the funds would not cause irreparable harm to Trump and noted his history of seeking to delay the proceedings. He stated, "In the last analysis, defendant has been stalling this case for years." The judge further asserted, "A jury unanimously concluded that he sexually abused and defamed plaintiff and awarded her damages accordingly. The judgment on that verdict has been upheld on appeal. En banc rehearing has been denied. The Supreme Court has denied certiorari without dissent. It is time for him to 'do equity' and pay the judgment."

Trump's Legal Strategy and Response

Trump's legal team had argued that the funds should remain held until the Supreme Court resolves a new, albeit unlikely, petition for reconsideration. They also raised concerns about Carroll potentially distributing the funds to third parties, making recovery difficult if the verdict were eventually overturned.

A spokesperson for Trump's legal team issued a statement criticizing the legal proceedings as "Witch Hunts" and "Democrat-funded travesty[ies]," vowing that "President Trump will keep winning against Liberal Lawfare."

This development comes after another jury in January 2024 ordered Trump to pay Carroll an additional $83.3 million for defaming her when he denied her 2019 allegations of rape. Trump has listed both verdicts as liabilities on his financial disclosure report.