On Wednesday, President Donald Trump’s legal representatives filed a brief in the New York Court of Appeals. They claim the court should dismiss his liability finding in a $464 million civil fraud case. This case revolves around Trump’s real estate valuations.
The appeal points to several legal issues that they believe should have prevented the case from proceeding in the first place. “This case should have never been brought, and the judgment cannot stand,” the appeal asserts. It highlights improper statements targeting Trump, his family, and his businesses. It also criticizes the application of New York law against them as unprecedented and unlawful.
Trump’s appeal reflects his ongoing efforts to counter accusations he describes as politically motivated. It offers him another chance to challenge some penalties affecting him from that verdict.
Attorney General Letitia James speaks during a news conference after a verdict against former U.S. President Donald Trump in a civil fraud trial Feb. 16, 2024, in New York City. (Photo: Michael M. Santiago/Getty Images)
In 2022, New York Attorney General Letitia James accused Trump of 200 fraud instances. Her office claimed Trump regularly overvalued New York City properties to secure advantageous loans or insurance rates, violating New York Executive Law § 63(12). This law directs the attorney general to prosecute repeated fraudulent or illegal acts.
The law defines fraud as any device, scheme, or artifice to defraud. It includes deception, misrepresentation, concealment, suppression, false pretense, false promise, or an unconscionable contractual provision. Trump was found liable in 2023.
Consequently, Trump had to pay $355 million in damages plus interest. He was banned from serving as an officer or director of any New York company for two years. He also faced a three-year ban on applying for loans from any New York financial institution. An intermediate appeals court later vacated the monetary award, but Trump’s lawyers argue the underlying liability finding and remaining restrictions should be overturned.
Former U.S. President Donald Trump speaks as he leaves the courtroom during his civil fraud trial in the New York Supreme Court Jan. 11, 2024, in New York City. (Photo: Michael M. Santiago/Getty Images)
The appeal presents five key arguments against the verdict. Firstly, it argues that Attorney General James lacked the authority to initiate the case, involving private commercial transactions rather than public harm. It also contends Trump’s valuations were subjective estimates independently evaluated by lenders, not fraudulent misrepresentations.
“The only supposed ‘victims’ here are a handful of ultra-sophisticated banks and insurers that have never claimed to be injured, were eager to do business with President Trump and his family, and made over $100 million from these transactions,” the appeal states.
The appeal further argues the prosecution’s premise of overvaluation is flawed. It suggests real estate lacks one objective value, arguing deviations do not imply fraud.
“Under that breathtakingly broad theory, NYAG can second-guess any business transaction in this State on almost any imagined grounds,” according to the filing.
Regarding penalties, the appeal claims the $450 million disgorgement is excessive, unlawful, and unconstitutional. Lastly, it argues the case’s politically charged nature should have been enough to halt its consideration.
Former President Donald Trump appears in the courtroom for the third day of his civil fraud trial in the New York State Supreme Court Oct. 4, 2023, in New York City. (Photo: Mary Altafeer/Pool/Getty Images)
“NYAG cannot point to a single Section 63(12) enforcement action against similarly situated developers (or any other type of defendant) based on practices comparable to those alleged here,” the filing states.
It notes that James repeatedly labeled Trump a “criminal” and announced intentions to investigate his business dealings, thereby indicating a bias against him.
James’ office did not immediately answer Fox News Digital’s request for comment.
Leo Briceno covers politics for Fox News Digital’s congressional team. Previously, he reported for World Magazine.