Good morning from New York.

Stormy Daniels is expected to be called to testify later today in Michael Avenatti's trial. Before the jury enters, Avenatti informs the court that he anticipates a six-hour cross examination.

"We'll see about those six hours," Judge Furman replies.
Avenatti's former lawyer Sean Macias remains on the witness stand.

During cross-examination yesterday, Macias testified he was "shocked" when Avenatti told him in 2018 he was "jammed up" and needed a $250,000 bridge loan.

"He was the top lawyer on TV and everything."
Macias testified on Wednesday that Mark Geragos paid him that money. Macias also said then he was enthusiastic that Avenatti might run for higher office.

Today, Avenatti says Macias sent him a text message about getting him some ‘Do, re, mi” so he could "run like a banshee."
A forensic expert is testifying now to authenticate exhibits before Daniels takes the stand.
AUSA: "The government calls Stephanie Clifford, also known as Stormy Daniels."

After being sworn in, she spells her birth name on the stand.
Q: Why do you use the name Stormy Daniels?

A: That's my stage name.

After establishing she prefers to be called by that name, the prosecutor refers to her as Daniels moving forward.

Daniels identifies Avenatti in court.
Asked about why Avenatti's no longer her attorney, she said: "Because I hired a new attorney because he stole from me and lied to me."
Daniels says she's "currently in production" of a TV show about "paranormal activity."

(Avenatti won a pre-trial ruling allowing him to bring up her paranormal beliefs.)
Asked about her first meeting, Daniels says: "I explained to him that I didn't have a large deposit or retainer to spend and I was concerned about finding someone I could afford."
Daniels speaks about a second meeting with Avenatti at a lunch meeting in Los Angeles.

"He said it'll be $100."

"He said he was going to set up a legal defense fund that was crowdfunded."
Daniels said that Avenatti also brought up the subject of a "book deal, a movie or a documentary, and we'd discuss it later."
The prosecutor shows Daniels her contract with Avenatti.

She said she made no changes to it.
Read Stormy Daniels' contract with Avenatti in full here.

documentcloud.org/documents/2119…

Some background on its significance here. lawandcrime.com/live-trials/mi…
Asked whether she had any other written agreement with Avenatti other than that one, Daniels said: "No."
Lunch recess.

Story soon, @LawCrimeNews, and join us for the upcoming afternoon session—and Stormy's upcoming cross-examination by her former lawyer.
"All rise."

The afternoon session will begin soon. Catch up on what happened in the morning here.
Daniels has returned to the witness box.
Direct examination of Stormy Daniels resumes:

Q: Have you ever authored a book?
A: Yes.

Q: What was the title of that book?
A: 'Full Disclosure.'

Cover known as "Government Exhibit 1"
Daniels is reading the contract for the book.
Recalling her reaction to the contract, Daniels says: "I got very excited with my friends."

"I took a picture of it," she added.

Q: And what did you do with that picture?
A: I texted it to Michael [Avenatti].

Asked why, she says she didn't have a scanner at the time.
Q: Why did you send it to the defendant?
A: Because he asked me to.

Q: Why didn't you ask the defendant to sign your name for you?
A: Because I could sign it. (laughs) I sign all my own contracts.
Daniels says she had been working on writing the book for 10 years.

Once she achieved that dream, she texted: "I can't feel my face."

Asked about that message, she says she meant because she was "smiling so much."
Stormy Daniels says Avenatti wouldn't take a cut of her book advance "because I was courageous, and I earned it, and I deserved it."
Daniels reads her engagement letter from Janklow & Nesbit detailing their engagement for her then-untitled memoir, dated April 13, 2018.
Asked against why she didn't have Avenatti sign that engagement letter for her, Stormy Daniels—again, seemingly tickled by the question—answers again:

"Because I can sign my own name. (laughs)"
AUSA Robert Benjamin Sobelman asks her what she understood Avenatti's split of money she made from the book would be, she says: "Nothing."
Asked what Avenatti told her about her second book payment, Daniels answered: "That it had not been sent."
Stormy Daniels reads her text message from September 2018: "I did not get paid today. I am not fucking happy. They are in breach of contract by about 4 weeks."
Next exhibit:

A cashier's check sent to Avenatti's office.

Daniels said she was "confused and annoyed" that it went there.

She says Avenatti responded: "At least we got it," and claims that he offered to deposit it for her.
Asked what Avenatti said about having received Daniels' third book advance payment, Daniels replied: "Nothing."
Daniels reads from a text exchange with Avenatti from on Oct. 29, asking him about her payment.

"Tomorrow will be one week late," she wrote.

"Yes. They are on it, will call you when I land," Avenatti replied.

Daniels says she didn't know then that Avenatti already had it.
In another text exchange from Nov. 20, 2018, Daniels asked for an update on her book payment, and Avenatti said he was on it.

Daniels testifies that Avenatti told her they were being difficult, and he may have to write them a letter.
Q: Where in that message did the defendant tell you that he already spent your third book payment?

A: He didn't.
Direct examination turns to Daniels learning that Avenatti set up a second legal defense fund.

"I'm tired of finding shit out on Twitter," Daniels told him in a text on Nov. 29, 2018.
After Daniels posted about it publicly, Avenatti texted her about figuring out a "soft landing" and how attacking him puts her in the bind. She asked if that was a threat.
On Dec. 2, 2018, Avenatti prompted Daniels to tweet:

"Now that Michael and I have sorted everything out and we know the accounting is on the up and up, we are going to kick ass together on two coasts tomorrow. #TeamStormy."

She replied "Tweeted"—with a small change. (cont'd)
"Had to add a curse word so no one would be suspicious," she added, explaining with a laugh that her fans knew she had a "potty mouth."

What changed then, she said, was that Avenatti told her he'd send a letter about the payment.
Daniels on Avenatti:

"He didn't tell me he had the book payment. He told me publisher was still being difficult."
Daniels is still trying to obtain the payment as of Feb. 4, 2019.

Trial evidence showed Daniels sending Avenatti her banking information on that date.
Daniels said that Avenatti asked if she would be open to receiving less than the full amount of the contract.

She says she replied: "Hell, no."

(Trial evidence showed the third payment was in fact transferred to Avenatti's accounts the previous September, per AUSAs' chart.)
Daniels sent a message to the publisher's rep on Feb. 13, 2019:

"This is Stormy Daniels. I am very confused why I have not been paid per my contract with your company. I've been lied to repeatedly about this and want to hear directly from you when I will be receiving my check."
On Valentine's Day of 2019, Stormy Daniels texted Avenatti: "Now. Find my fucking money."

"Word!!!!!" Avenatti replied.

Daniels says she took that number of exclamation points to mean: "Affirmative. Very affirmative."
(Someone needs to send these text messages to David Mamet for a docudrama.)
Stormy Daniels wrote to Avenatti on Feb. 19, 2019:

"I didn't even know you had a trust account with my name on it."

Avenatti responded: "Let me find out if we even received this payment."

Asked where he wrote that he received and spent this payment, Daniels replies: "Nowhere."
Flipping a script of a common question from the direct examination, the prosecutor asks where on the text message Avenatti wrote that he received her money and in fact believes he's entitled to it—his main defense.

Daniels says Avenatti didn't say that.
Daniels says she eventually received proof of the banking transfers from the literary agent and sent the screenshots to Avenatti.

She described it as a "mic drop" moment.

She says she wanted that to sent the message: "I'm tired of your lies. Just stop. Come clean."
Stretch break for the jury and— (gestures to the Twitterverse)
We're back, and the prosecutors reminds her that proceedings left off with Avenatti writing her on Feb. 19:

"Let me find out what is going on."
Stormy Daniels when asked about her reaction to learning her payment, in fact, had been sent early:

"I don't know if there's a word stronger than furious, but that would be it."
Examination pivots to her paranormal TV show "Spooky Babes."

She notes the "Spooky" refers to the paranormal.

"Babes because they're attractive people," she says with a laugh.
Q: Did you say you hoped he gets raped in prison?
A: Yes.

Q: Do you actually want that to happen to him?
A: No.

Asked why she said that, she replies: "I felt violated."
🚨 Avenatti's cross-examination of Daniels begins, 10 minutes before the end of the trial day.
Avenatti: Breaching a contract is a very big deal to you, isn't it?
Daniels: Yes.

Q: Ms. Daniels, how was I supposed to get paid for all of the work that I and my law firm did for you for all of the 12 months?
A: From the legal defense fund and the winnings against Donald Trump.
Avenatti: Any other ways?
Daniels: Not that we agreed upon.

Q: I never told you that I would work for $1, did I?
A: No, you did not.
Avenatti asks if Daniels claims to be able to see and speak to dead people

"Yes, I've said that," Daniels replies.

Asked about whether she's claimed to have X-Ray vision, she said, "No, not X-Ray vision."
When Avenatti asks whether Daniels has claimed to be able to speak to a doll, Daniels replies: "Susan speaks to everyone. She's a character on 'Spooky Babes.'"

Avenatti presses the question about whether she speaks to the doll.

Daniels: "Yes, she has her own Instagram."
Avenatti moved to strike everything after "yes."

Judge Furman grants motion to strike the words "she has her own Instagram," referring to the doll.
Trial adjourned for the day.

Stormy's cross-examination by her former lawyer resumes on Friday.
Furman, referring to the weather, tells the jury before excusing them that he's monitoring the "storm": "No pun intended."

The judge was referring to this.
Read the end-of-day update of Stormy Daniels's first day of testimony in Michael Avenatti's fraud trial. lawandcrime.com/high-profile/h…

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More from @KlasfeldReports

Jan 28
Good morning from New York.

Michael Avenatti's cross-examination of Stormy Daniels yesterday began during the last 10 minutes of the trial day. Today, the questioning kicks off into full gear.

Follow along live with me, @lawcrimenews.

ICYMI: lawandcrime.com/high-profile/h…
Stormy Daniels is back on the witness stand.

The jury is entering.
Highlighting Stormy's history as an actress, Avenatti asks whether that entails learning and reciting lines.

He then asks how many times she met with the government.

Six or seven times, five or six of which were in the last 30 days, she responds.
Read 35 tweets
Jan 25
"U.S. Appeals Court Affirms Conviction for Drug Lord 'El Chapo,' Rejecting Defense Claims of 'Breathtaking Juror Misconduct'"

Coming soon: Expert @MitchellEpner explains why the 2nd Circ's ruling shows "major hurdles" for Ghislaine Maxwell.
lawandcrime.com/high-profile/u… @lawcrimenews
Ghislaine Maxwell's appeal goes to the Second Circuit, and her request for a new trial is governed by its precedent.

In rejecting a new trial for El Chapo, a three-judge panel reiterated the high bar for even probing alleged juror misconduct. Image
That said, Epner—a former sex trafficking prosecutor—noted that the juror conduct at issue here is different from the Chapo case.

Chapo's appeal involved "unsworn, uncorroborated statements" by "one unidentified juror."

In Maxwell, the juror is known and spoke widely.
Read 6 tweets
Jan 24
Good morning from New York.

Michael Avenatti's federal trial accusing him of defrauding Stormy Daniels is about to begin.

Covering it live for @LawCrimeNews.
Proceedings begin:

Assistant U.S. Attorney Andrew Rohrbach for the government

Avenatti's attorney Robert M. Baum for the defense
Judge Furman notes that the jury is all vaccinated.
Read 25 tweets
Jan 20
Edward Vallejo, charged in the same seditious conspiracy indictment as Oath Keepers leader Stewart Rhodes, has a federal detention hearing that is about to begin.

He allegedly discussed “armed conflict” and “guerilla war.”

Listening in, for @LawCrimeNews
Vallejo is represented by federal defender Debbie Jang.

U.S. Magistrate Judge Boyle presides.
AUSA:

"This is not an individual who was staying at home yelling at a television screen."

Instead, Vallejo is someone who brought an "arsenal" of weapons across the country.
Read 14 tweets
Jan 14
BREAKING:

Martin Shkreli must pay a $64.6 million fine and is BANNED FOR LIFE from "participating in the pharmaceutical industry in any capacity," a federal judge ruled.

DEVELOPING story, @LawCrimeNews. lawandcrime.com/high-profile/j…
The $64.4 million is disgorgement to the states.

I'm reviewing the 135-page (!) breaking ruling to see what, if any, other liability Shkreli may face as the result of today's decision.
That ruling is embedded in the story.
Read 4 tweets
Jan 11
Good morning from New York.

A hearing is scheduled to begin shortly in the case of @MaryLTrump v. Donald Trump.

Covering the proceedings virtually, @LawCrimeNews.
New York County Supreme Court Justice Robert R. Reed presides over oral arguments on the defendants' motion to dismiss.

The attorneys are:

John Quinn for Mary Trump

Gary Freidman for Maryanne Barry

James Kiley for Donald Trump
Up first, Freidman for Maryanne Barry

He says his two main arguments are that the claims are time-barred and covered by the terms of the broad release agreement.
Read 23 tweets

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