New York judge allows portion of lawsuit against Trump and his children to proceed

President TrumpDonald TrumpTrump State Department appointee arrested in connection with Capitol riot Intelligence community investigating links between lawmakers, Capitol rioters Michelle Obama slams 'partisan actions' to 'curtail access to ballot box' MORE as well as his adult children Donald Trump Jr.Don TrumpTrump: 'I can't imagine' any Republican would beat me in 2024 primary if I run Trump Jr.: There are 'plenty' of GOP incumbents who should be challenged Donald Trump Jr. attacks Cheney at CPAC: 'Lincoln Project Liz' MORE, Eric TrumpEric TrumpTrump says 'no doubt' Tiger Woods will be back after accident Trump sends well wishes to Tiger Woods after crash Scottish lawmakers want to investigate Trump purchase of golf courses MORE and Ivanka TrumpIvanka TrumpTrump Jr. was deposed in inauguration funds probe Former Trump officials eye bids for political office The Hill's Morning Report - Disaster politics hobble Cruz, Cuomo MORE must face a portion of a lawsuit filed by former investors alleging they promoted fake marketing opportunities using the family's brand, a judge ruled Wednesday.

Reuters reported a Manhattan judge ruled the four can face state civil claims of fraud, unfair competition and false advertising, but dismissed federal Racketeer Influenced and Corrupt Organizations (RICO) Act claims also filed by the plaintiffs.


The investors argued in court documents that the Trumps were paid secretly to endorse a company, American Communications Network, and tricked them into thinking President Trump thought the business would succeed and provide a return on their investments.

An attorney for the investors told the news service that the case would go forward “to obtain justice for the plaintiffs, and thousands of other working Americans just like them, who each lost hundreds or thousands of dollars as a result of the defendants’ fraudulent scheme.”

Attorneys for the Trumps, who had sought a full dismissal of the case, told Reuters in an interview that they were "delighted" that the judge had decided to dismiss the federal charges and predicted that the state case would soon fall apart as well.

“We are delighted by the court’s decision,” attorney Joanna Hendon told the news service. “The RICO claims were baseless and should never have been brought, and we look forward to dispensing with the rest of the case.”