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ARTICLE · 10 AUGUST 2016

Second Trump University Class Action Proceeding To Trial

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Class action trials, a rarity in Canada, are now set to proceed in two separate U.S. District Court cases involving U.S. Presidential candidate Donald Trump and "Trump University".

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Class action trials, a rarity in Canada, are now set to proceed in two separate U.S. District Court cases involving U.S. Presidential candidate Donald Trump and "Trump University". In a decision released this week, Judge Gonzalo P. Curiel denied Trump's motion seeking summary dismissal of Cohen v. Trump, a certified class action on behalf a nationwide U.S. class claiming damages against Donald Trump (personally) for alleged breaches of the Racketeer Influenced and Corrupt Organizations Act ("RICO").

Background

From 2007-2010, Trump University ran a series of real estate investment education programs and live seminars, costing up to $35,000 each. The plaintiffs allege that the programs and seminars failed to deliver on their advertised promises, and constituted a fraudulent scheme. The RICO cause of action is grounded in the fact that some of Trump University's allegedly false advertising was circulated by interstate mail and interstate electronic communications.

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