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

President TrumpDonald TrumpRealClearPolitics reporter says Freedom Caucus shows how much GOP changed under Trump Jake Ellzey defeats Trump-backed candidate in Texas House runoff DOJ declines to back Mo Brooks's defense against Swalwell's Capitol riot lawsuit MORE as well as his adult children Donald Trump Jr.Don TrumpDonald Trump Jr. joins Cameo Book claims Trump family members were 'inappropriately' close with Secret Service agents Trump Jr. shares edited video showing father knocking Biden down with golf ball MORE, Eric TrumpEric TrumpTrump to Pence on Jan. 6: 'You don't have the courage' Florida city bans gambling amid prospects of Trump-owned casino Lara Trump on Senate bid: 'No for now, not no forever' MORE and Ivanka TrumpIvanka TrumpWashington Post calls on Democrats to subpoena Kushner, Ivanka Trump, Meadows for testimony on Jan. 6 Jill Biden takes starring role at difficult Olympics Trump to Pence on Jan. 6: 'You don't have the courage' 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.”