Michael D. Cohen, the longtime fixer to Donald J. Trump, is expected to settle his lawsuit with the Trump Organization over legal fees, according to sources familiar with the matter. Cohen’s lawsuit, filed in 2019, accused the Trump Organization of violating their deal and failing to pay over $1 million in legal costs. The settlement, which has yet to be finalized, will likely be made public at a court hearing on Friday morning.
While the terms of the settlement will be confidential, a separate lawsuit filed by Trump against Cohen in Florida federal court remains active. Additionally, Cohen is still expected to be the star witness against the former president in a Manhattan criminal trial next year.
Cohen had alleged that the Trump Organization had agreed, both orally and in writing, to cover his attorney fees during various 2017 and 2018 congressional hearings and investigations, including the special counsel Robert Mueller’s probe. Cohen claimed that the Trump Organization initially paid the bills but stopped after he agreed to cooperate with the investigations.
Once a close ally of Trump, Cohen’s role was to handle his boss’s troublesome situations. In one such instance, Cohen arranged a $130,000 payment to adult film actress Stormy Daniels to keep silent about her alleged affair with Trump. The reimbursement of these payments is currently the subject of a criminal case against Trump by the Manhattan district attorney.
In 2018, FBI agents searched Cohen’s home, office, and a hotel where his family had stayed as part of an investigation into the hush money payment. This strained Cohen’s relationship with Trump, leading to a falling out. Cohen later pleaded guilty to multiple crimes, including those related to the hush money payment, and testified against Trump in a high-profile congressional hearing.
Since then, Cohen has been a pivotal witness for Manhattan district attorney Alvin L. Bragg, who has charged Trump with multiple felony counts of falsifying business records tied to the reimbursements to Cohen. Trump filed a lawsuit against Cohen in April, accusing him of betraying his confidences.
The settlement between Cohen and the Trump Organization will cancel the scheduled trial but does not affect other legal challenges awaiting Trump. A lawsuit brought by the New York attorney general is set for trial in October, while the criminal trial concerning the hush money payments is scheduled for March of next year. Furthermore, two civil trials, including one related to defamation claims by writer E. Jean Carroll, are slated for January.
Moreover, Trump faces indictment by federal prosecutors for obstructing their investigation and mishandling sensitive material. A trial date of May 2024 has been set for this case. Additionally, there are two potential indictments on the horizon: one related to Trump’s actions leading up to the January 2021 Capitol attack by federal prosecutors and another by Georgia district attorney Fani Willis for potential election interference.
Although Trump was not expected to appear in Manhattan for the trial linked to Cohen’s lawsuit, the settlement avoids a courtroom showdown between Cohen and Trump’s son, Donald Trump Jr. Cohen had recently issued a subpoena for Trump Jr. to testify regarding his approval of legal fees in his role as executive vice president for the Trump Organization. Trump Jr. was expected to take the stand early next week.