Thread by @KlasfeldReports

When trial began, prosecutors told jurors that then-Stormy lawyer Keith Davidson asked Dylan Howard on election night when it seemed Trump would win: "What have we done?"

This is the text message exchange. Howard replied: "Oh my god."

Stay tuned for the afternoon session. 🧵

During the morning session, Davidson has been questioned about his texts with Howard — but prosecutors haven't yet gotten to this exchange.

We'll see if they get there by then end of the day.

(Note: The messages previously came into evidence through another witness.)

Davidson is shown this exchange, in which Howard said McDougal would get "more out of a deal with AMI than ABC."

Howarded added later: "I need this to happen," which Davidson said referred to the deal.

In this exchange, Davidson pressed for a deal at "150k."

"Fuck it. Not my money. I'll ask," Howard replied.

The witness smoothed the edge on the text by abbreviating it as "F--- it."

Negotiations were at times... rocky, as evidenced by Howard's text here.

"F***en' Jesus."

Davidson said he understood that McDougal deal for Michael Cohen's "client" closed, which he said referred to Trump.

The prosecutor notes that the effective date on Karen McDougal's agreement is same date that the text messages indicate the deal closed.

Davidson acknowledges that the liquidated damages clause meant that if McDougal told her story to anyone else, she would have to pay $150,000.

Three days after the execution date of the contract, Davidson and Howard exchanged texts about letting down ABC.

"Btw - they promised her a role on dancing with the stars. Season 578568655," Davidson quipped, confirming this was a joke.

"Ha!" Howard replied.

Questioning pivots to Davidson's former client Stephanie Clifford p.k.a. Stormy Daniels.

Davidson:

After Daniels' manager Gina Rodriguez received a voicemail from Michael Cohen, Rodriguez called him to complain "some jerk" called her, was "very aggressive," and threatened to sue her.

Q: I hate to ask this way, but who was that jerk?
A: (chuckling) Michael Cohen

The phone call happened in 2011, after a blog post on The Dirty named Trump and Daniels.

Davidson says he sent a cease-and-desist letter, which succeeded in taking that story way back then.

That history bubbled back up to the surface again in mid-2016, when Howard informed Davidson:

"FYI Gina trying to hawk Stormy again," meaning that she was trying to sell her story with Trump again, per the testimony.

"To Gina's dissatisfaction," Davidson said, there was little interest in the marketability of the story — "despite the fact that Mr. Trump's notoriety was gaining."

Then, the prosecutor pivots, came the "Access Hollywood" tape.

"It's what was called a 'hot mic,'" Davidson recalled, recapping the conversation between Trump and Billy Bush.

Euphemistically, Davidson says the "Access Hollywood" tape produced "allegations" that the hot mic recorded comments that were "troublesome."

As a result of its release, interest in Stormy Daniels' story reached a "crescendo," Davidson said.

Davidson's then-appraisal of the impact of the "Access Hollywood" tape:

"Trump is fucked."

Howard replied, "Wave the white flag, it's over people!"

On Oct. 9, 2016, Davidson told Howard that the Stormy Daniels story was "already out there."

Howard: "Yeah but her talking and taking [REDACTED] is the final nail in the coffin... but he's fucked already."

Text messages show Dylan Howard passing Davidson off to Michael Cohen for the Daniels deal.

Asked if it was "unusual" for Howard to connect him with someone outside of AMI to purchase a story, Davidson replies that this was the only time that happened.

Davidson said that AMI "washed their hands" of the deal.

In other words, he says: "Michael Cohen stepped into AMI's shoes."

Davidson says that Gina Rodriguez told him that he would have to deal with "that asshole Cohen."

Q: What was Stormy Daniels' pseudonym?
A: Peggy Peterson.

Q: What was Trump's pseudonym?
A: David Dennison.

Davidson supplies an interesting backstory. P- was short for "plaintiff," and D- was short for "defendant. But Dennison was also on his high school hockey team.

Dennison wasn't happy about how Davidson used his name, the witness cracks, sheepishly.

Email from mid-October refers to "PP v. DD," the shorthand for Daniels' and Trump's pseudonyms.

Davidson informed Cohen that Daniels did not receive the money stipulated in the written settlement agreement.

Davidson says Cohen had a bunch of excuses for nonpayment, including Yom Kippur, the Secret Service, and the computer servers.

One time, Davidson recalled Cohen telling him: "My guy is in five f***ing states today," as an excuse for nonpayment.

Davidson says he believed that Cohen didn't have the authority to send the money:

"I let him know that [Daniels'] level of dissatisfaction was quite high."

Then, Cohen said: "Goddamn it, I'll just do it myself," according to Davidson.

Q: Did you ever believe that Michael Cohen was going to be the ultimate source of the funds?
A: Never prior to funding, no.

Q: Where did you understand the money would be coming from?
A: From Donald Trump or some corporate affiliation thereof.

Next exhibit: Another email bearing the subject line "PP v. DD."

Davidson: "Please be advised that my client deems the Settlement Agreement cancelled and void ab initio," using the Latin phrase for "from the beginning."

Davidson said that he effectively told Cohen and his client, "I'm out. Go in peace."

The rest of the email read:

"Please further be advised that I no longer represent her in this or any matter."

Davidson said he expressed to Cohen that he believed Cohen was not being truthful.

Q: What did you think was really happening?

After repeating the question, Davidson answers: "I thought he was trying to kick the can down the road until after the election."

Afternoon break.

We're back.

On Oct. 18, 2016, Davidson texted Howard: "I can't believe Cohen let this go. It's going to be a shit show."

He says he believed that Daniels' manager Gina Rodriguez had a backup deal waiting in the wings, something he alluded to in the follow-up messages.

In a message, Howard opined that things got to this point: "All because trump is tight."

Davidson euphemistically translates "tight" as "frugal."

He notes there was a deal in place, save for the funding.

On Oct. 18, 2016, Howard cracked in a text: "I reckon that trump impersonator I hired has more cash."

Davidson, who replied to him "lol," says he took that to mean Trump isn't as wealthy as he claimed.

The prosecutor leads Davidson through a series of messages about the effort to resurrect the Stormy Daniels deal.

Howard on Oct. 25, 2016: "Going to see Pecker in 15. Will ask for an update."

False start as prosecutors try to introduce an exhibit.

Objection from the defense table.

Sustained.

After a bit of back-and-forth, Davidson says the resurrected Stormy Daniels deal shifted from AMI to Cohen, directly.

Davidson:

"The entire matter was very frustrating, that it was on again, off again, that there were delays in funding, cancellation, disengaging with client, re-engaging with client."

Davidson:

"Then, I call Cohen, and Cohen tells me, 'I'm not paying anything.'"

AMI was paying, Cohen told him, according to the testimony.

Davidson reviews an exhibit of an email showing him sending his wiring instructions to Cohen — "for the fourth or fifth time," he adds, with a rueful laugh.

On Oct. 26, Michael Cohen sent Davidson an email with the subject "First Republic Bank Transfer."

Cohen forwarded the message after Davidson told him he "didn't believe" he actually planned to send the money.

The original email came from Farro's assistant at First Republic Bank.

Farro was the first witness testifying today, and it comes full circle.

Davidson: "It meant nothing to me because he had my wiring instruction."

But Cohen didn't wire the funds.

Cohen forwarded the email.

Davidson on Cohen:

"He was highly excitable. Sort of a pants-on-fire sort of guy."

The witness compares Cohen to the distracted dog shifting attention to a "Squirrel!" in the movie "Up."

So ends his testimony for the day.

The jury is excused.

Justice Merchan tells the lawyers to expect to begin oral arguments on the next batch of alleged gag order violation on Thursday, at 9:30 a.m. "sharp."

Trump, his son Eric and the defense attorneys exit.