Donald Trump’s legal team has informed an appeals court that they have been unsuccessful in securing a bond to satisfy the substantial civil fraud judgment against him, totaling nearly half a billion dollars.
In their argument presented to the court, Trump’s attorneys highlighted the practical challenges associated with obtaining a bond exceeding $454 million, plus additional millions in interest. They emphasized that finding a company willing to provide such a substantial bond has proven to be a daunting task, describing it as a “practical impossibility.”
According to Trump’s legal representatives, despite reaching out to approximately 30 surety companies through four different brokers, they have faced significant obstacles in their attempts to secure the required bond. They pointed out that the vast majority of surety companies have been unwilling to underwrite a bond of this unprecedented magnitude.
One of the major hurdles cited by Trump’s legal team is the reluctance of surety bond providers to accept real estate as collateral. They noted that these companies typically demand cash or cash equivalents, such as marketable securities, and require collateral equivalent to approximately 120 percent of the judgment amount. Given these stringent requirements, Trump’s attorneys argued that securing the necessary collateral has proven to be a formidable challenge.
The looming deadline for New York Attorney General Letitia James to commence asset seizures adds urgency to the situation. Without intervention from the court, Trump faces the prospect of his assets being seized by authorities unless a suitable bond arrangement can be established.
The legal team’s assertions underscore the gravity of the situation facing Donald Trump and the considerable hurdles involved in satisfying the substantial civil fraud judgment against him. As the legal battle continues, the outcome remains uncertain, with significant implications for both Trump and the ongoing investigations into his business dealings.
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