In the wake of the massive judgment against Donald Trump, many in New York are celebrating the prospect that the former president could be forced to sell off his property just to appeal the $355 million judgment against him. While Trump has good grounds to object to this excessive fine, he still has to come up with close to a half billion dollars just to make his arguments to the New York Court of Appeals.
In order to file an appeal, the courts require a deposit for the full amount of the damages or a bond covering the full amount. Even with escrow options, the call for cash or collateral can be enough to put some executives in a fetal position.
It can be challenging enough for many companies drained from years of litigation. For Trump, the demand for $355 million plus about $100 million in interest could force a fire sale on properties to pony up just the deposit.
Creating an ad hoc business code for Trump undermines the city’s reputation as a premier jurisdiction for corporate and tax law. If the rate of exit increases, it will impact not just employees working for these companies (like the Trump companies) but the vast network of supporting businesses, including law firms.
As New York politicians campaign on “eat the rich” platforms, the confiscatory Trump judgment leaves many in the city wondering if they could be the next course.
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Jonathan Turley is the Shapiro professor of public interest law at George Washington University and a practicing criminal defense attorney. He is a Fox News contributor.
