Overview

• The Appellate Division vacated the roughly $464 million civil judgment as unconstitutional under the Eighth Amendment while leaving the fraud liability intact.
• Opinions by Judges Dianne T. Renwick and Peter H. Moulton faulted the penalty for lacking a reasonable nexus between any gain and alleged harm.
• Judge Arthur Engoron had imposed a $355 million penalty in February 2024, which had grown with interest to nearly half a billion dollars.
• The ruling cancels Trump’s $175 million appeal bond and keeps corporate‑governance removal orders stayed during the ongoing appeals process.
• New York Attorney General Letitia James said she will challenge the decision, as Trump hailed a "total victory" on Truth Social.