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New York Appeals Court Overturns Trump’s $500 Million Fraud Judgment, Affirms Civil Liability

Letitia James plans to ask New York’s high court to reinstate the monetary sanction, setting up the next phase of the case.

Overview

  • A five-judge Appellate Division panel vacated roughly $464–$527 million in restitution and penalties, calling the sum an excessive fine under the Eighth Amendment.
  • Judges left intact the lower court’s finding that Donald Trump, the Trump Organization, and his sons Donald Trump Jr. and Eric Trump committed civil fraud by inflating asset values.
  • The decision came in a fractured 323-page set of opinions with no single majority, including a separate writing that accused the prosecution of political intent.
  • Non-monetary measures, including limits on doing business in New York and temporary bans on corporate leadership, remain paused or under review as appeals continue.
  • Trump hailed the outcome as a “total victory,” while the attorney general vowed to appeal to the New York Court of Appeals; Trump had posted a $175 million bond that stayed collection.