Lisa Rubin Profile picture
Oct 11, 2023 14 tweets 3 min read Read on X
We learned yesterday that Allen Weisselberg's severance agreement will ultimately pay him $2 million by 12/31/24 if he fully complies. What I didn't appreciate is what he promised in return: 1/ Image
To some extent, it's not atypical to require an employee to promise not to assist with others' claims. The problem here is context--and timing. 2/
Let's start with the fact that while Weisselberg left the company at the end of 2022 and the agreement contemplated his completing his work in good faith before that date, it wasn't executed by him until the literal eve of his Jan. 10, 2023 sentencing. 3/
And it wasn't signed by Alan Garten, the Trump organization's chief legal officer, until Jan. 12, two days after Weisselberg entered Rikers. 4/
What's more, according to the payment schedule appended to the agreement, the Trump Org. did not start paying him until Mar. 31, 2023, well into his prison sentence and certainly *after* reports that the Manhattan DA was still investigating Weisselberg for insurance fraud. 5/ Image
Now let's go back to *his* severance obligations. They include cooperating in an investigation or litigation against the company or Trumps by meeting with them in connection with "discovery or pretrial issues" and providing "truthful testimony on behalf of Releasees." 6/
That means he was likely obligated to meet with them before his trial testimony. 7/
The severance agreement also entitles Weisselberg to be indemnified for any reasonable attorney's fees in any legal matter against him or the company--but there's some big catches. 8/
He can't hire a lawyer without the company's prior approval, and "to the extent there is no direct conflict of interest and at the election of the Company, [Weisselberg] shall be jointly represented by counsel for the Company." 9/
Put another way, if he wants his own fees paid, they get to decide who represents him and even force their own lawyers on him. 10/
But, of course, all of this pales in comparison to Weisselberg's commitment that except where forced by subpoena or other court-ordered process, he won't give information to anyone else with claims against the company and/or anyone he individually released (e.g., Trump)...11/
or "take any action to induce, encourage, instigate, aid, abet or otherwise cause" any person or entity "to bring or file a complaint, charge, lawsuit or other proceeding of any kind against the Company or any person or entity released by this Agreement." 12/
Read broadly, the agreement precludes Weisselberg from voluntarily cooperating with any law enforcement or prosecutorial agency in exchange for lenience as to other crimes for which he could be under investigation and/or ultimately charged. 13/
And yes, that might be the definition of unenforceable as a matter of public policy. But if you're Weisselberg, what incentive do you have to test that proposition when you have $2 million in severance, payable even if you die, riding on it? None. FIN.

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More from @lawofruby

Jul 17
The @nytimes story on JD Vance at @YaleLawSch is the most Yale Law tale of all time.
A professor mired in controversy as literary fairy godmother? Check. Another professor simultaneously endorsing & dissing the subject? Check. The self-deprecation involved in any athletic pursuit? The affectionate “island of misfit toys” label, as applied to self and classmates? Check & more check.
But in all seriousness, the article reflects @YaleLawSch at its best and worst. For those who arrive without generational wealth or academic cache, it can be transformative, even propulsive.
Read 12 tweets
Jul 12
NEW: A federal bankruptcy judge has dismissed Rudy Giuliani's bankruptcy, allowing GA election workers Ruby Freeman and Shaye Moss to start collecting on their $148 million judgment now.

msnbc.com/top-stories/la…
What does that mean practically? Unless a higher court stays enforcement, Freeman and Moss can use their judgment to take assets from Rudy. But even assuming no higher court intervenes, it's doubtful they'll collect even a tenth of what he owes them. 2/
And given Giuliani’s true obstreperousness during the bankruptcy, as detailed by today's opinion, Freeman and Moss might need the help of private investigators and forensic accountants to determine where Rudy’s assets are hidden. 3/
Read 8 tweets
Jul 12
NEW: That 1 p.m. hearing in Rudy Giuliani's bankruptcy case was canceled; Judge Sean Lane has pledged to issue a written decision by the close of business today. What could happen? 1/
Ruby Freeman & Shaye Moss, the GA election workers with a $148 million verdict against Rudy, have asked that his bankruptcy petition be dismissed. That would allow them to immediately enforce their judgment & would allow him to proceed with his appeal. 2/
Earlier this week, despite choosing to file for bankruptcy and elongating the process through his delay tactics, Rudy reversed course and decided to support their ask. 3/
Read 7 tweets
Jul 11
When the Supreme Court immunity decision came down, some of us said its worse pieces were the prohibitions on using conduct immune from prosecution as evidence and considering motive to suss out what is official versus unofficial conduct. 1/
Trump's brief to overturn the NY criminal verdict because of those pieces illustrates why. It assumes virtually all statements made & actions taken in office were official and that testimony about them is similarly off limits, even if coming from private actors, like Michael Cohen. 2/
And while judges can consider "content, form, and context" of his statements to determine whether or not they are official, they can't look to his motive. So Trump's telling Cohen that then-AG Jeff Sessions would take care of the FEC inquiry? Absolutely immune, says Trump. 3/
Read 8 tweets
Jul 8
The GOP platform is like a Rorschach test on fetal personhood. If you're looking for assurance that Trump's GOP won't press for a national abortion ban, you might point to this language. 1/
"We believe that the 14th Amendment to the Constitution of the United States guarantees that no person can be denied Life or Liberty without Due Process, and that the States are, therefore, free to pass Laws protecting those Rights." But who's a person in this sentence? 2/
Susan B. Anthony Pro Life America's public statement on the platform -- which would otherwise seem disappointing to the anti-abortion right -- is a tell. They characterize the GOP platform as "reaffirm[ing] its commitment to protect unborn life today through the 14th Amendment." 3/
Read 6 tweets
Jul 6
Trump was expected to start the GOP convention on 7/15 with a criminal sentence. Now, he’ll go to Milwaukee having told the sentencing judge on 7/10 that the verdict must be set aside because it relied on evidence the prosecutors should never have been allowed to use. 1/
The breadth of the Court’s ruling — especially as it pertains to the admissibility of evidence and the legal irrelevance of a defendant president’s motive or purpose in determining what is and is not off limits — is just starting to reveal itself. 2/
And perhaps what’s worst of all is that underneath all that breadth is a gaping lack of guidance, which means lower court judges striving to do the right thing will almost certainly run afoul of this higher court or that one. 3/
Read 6 tweets

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