Trump SLUSH FUND Instantly UNDERMINED by CONSTITUTION!!! | It's Complicated

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Quick Read

Legal experts dissect the constitutional and ethical failings of Donald Trump's $1.776 billion settlement with his own administration and the Supreme Court's controversial decisions impacting voting rights.
Trump's $1.776 billion settlement for leaked tax returns is legally dubious, characterized by collusive litigation and a potential violation of the Anti-Deficiency Act.
The Supreme Court's *Cale* decision effectively guts the Voting Rights Act, enabling states to disenfranchise minority voters through redistricting.
Both situations highlight a perceived erosion of legal and judicial integrity, raising concerns about future elections and governmental accountability.

Summary

This episode critically examines two significant legal developments: Donald Trump's $1.776 billion settlement with the federal government over leaked tax returns, and the Supreme Court's recent ruling on Alabama redistricting. Professor David Super details how Trump's settlement, characterized by collusive litigation and a lack of adversarial dispute, is legally dubious, potentially violating the Anti-Deficiency Act and misusing the Judgment Fund. The settlement, rushed to avoid judicial scrutiny, also includes a DOJ memo granting Trump immunity from future tax audits, raising concerns about civil liability and executive overreach. Separately, Asha Rangappa and Renato Mariotti discuss the Supreme Court's *Cale* decision, which effectively weakens the Voting Rights Act by allowing states to implement redistricting maps that disenfranchise Black Americans. They highlight the Court's perceived double standard in applying the Purcell principle, further eroding its credibility and posing a significant threat to democratic processes and election integrity.
These legal maneuvers and judicial decisions have profound implications for governmental accountability, the rule of law, and the integrity of democratic processes. The Trump settlement challenges the separation of powers and the ethical use of public funds, while the Supreme Court's voting rights decision directly impacts the fairness of elections and the representation of marginalized communities, raising critical questions about the future of American democracy.

Takeaways

  • Trump's $1.776 billion settlement for tax return leaks is viewed as collusive and potentially illegal, lacking a legitimate basis for such damages.
  • The settlement attempts to use the Judgment Fund but is criticized for not meeting statutory requirements and avoiding court-ordered judgment.
  • A separate DOJ memo promises to drop all disputes concerning Trump's past tax returns, effectively granting immunity from future audits.
  • The Supreme Court's *Cale* decision on Alabama redistricting is seen as gutting the Voting Rights Act, allowing states to disenfranchise Black Americans.
  • The Court is accused of applying a double standard with the Purcell principle, impacting election timing and fairness, and undermining its credibility.

Insights

1Trump's Legally Dubious $1.776 Billion Settlement

Professor David Super explains that Donald Trump's $1.776 billion settlement for leaked tax returns, filed against his own administration, is legally problematic. The lawsuit was 'speculative, thinly supported,' and lacked standard legal requirements like demonstrating damages or compliance with the statute of limitations. The core issue is the collusive nature of the litigation, where Trump controlled lawyers on both sides, making it a 'play-acting' scenario that federal courts are mandated to dismiss.

President Trump's lawyers filed a very unusual speculative, and thinly supported lawsuit against the federal government claiming $10 billion. President Trump's lawyers, his other lawyers in the Justice Department, settled that case for a agreement that includes a 1.776 billion dollar fund... Congress has passed a law saying that you cannot get jurisdiction in federal court through a collusive lawsuit where both sides are working together.

2Misuse of the Judgment Fund and Anti-Deficiency Act Violation

The settlement attempts to draw funds from the Judgment Fund, a congressional appropriation for legitimate judgments or good-faith settlements consistent with federal law. However, this settlement is argued not to qualify due to its collusive nature and lack of merit. Furthermore, the $1.776 billion figure is not explicitly stated in the settlement document itself, making any payment above $1 a 'gift' and a potential violation of the Anti-Deficiency Act, which makes spending federal money without congressional appropriation a felony.

The Judgment Fund is a law passed by Congress, um, that says that where judgments have been entered against the United States, uh, those may be paid... But those settlements have to be arrived at consistent with federal law. And this one wasn't... So, at most you can charge $1 to the judgment fund. Everything above that is a gift. And the judgment fund has no provision for gifts.

3Unprecedented Damages and Evasion of Judicial Scrutiny

The $1.776 billion amount for 'loss of reputation' is deemed wholly unprecedented for a single individual or even a small group, especially compared to large class-action settlements involving calculable damages for many people. The settlement was also rushed over a weekend to avoid a federal judge's impending ruling on whether the court had jurisdiction, as the judge had 'grave doubts' about the case's collusive appearance.

I can't recall a lawsuit against the federal government of any kind off the top of my head that would that has resulted in damages of that magnitude... The court had grave doubts that she had jurisdiction because the case looked collusive to her... The briefs were due today, Wednesday. And rather than filing those briefs... the Trump lawyers... settled it quickly over the weekend.

4DOJ Memo Grants Immunity from Tax Audits

A separate Department of Justice memo, part of the settlement, promises to drop all disputes concerning the tax returns of President Trump and the Trump organization filed prior to the case. This effectively grants immunity from future tax audits for these entities, setting a dangerous precedent for civil liability and potentially allowing individuals to escape accountability through collusive settlements.

Then there's this other document in which the Justice Department promises to drop all disputes concerning the tax returns of President Trump and the Trump organization and so on, um, that have been filed prior to this case... for civil liability pardons don't work. So this sort of collusive settlement I think is going to be quite popular.

5Supreme Court's *Cale* Decision Guts Voting Rights Act

The Supreme Court's decision in *Cale* is criticized for effectively gutting Section 2 of the Voting Rights Act. This ruling allows states like Alabama to implement redistricting maps that intentionally disenfranchise Black Americans, even after lower courts found intentional discrimination. This enables a return to maps previously deemed unconstitutional, undermining protections for marginalized groups.

The Supreme Court's decision in Cale... effectively guts the Voting Rights Act basically means that um states can redistrict in ways that disenfranchise black Americans... They literally um went to they was they were taken to court. A judge found that they intentionally intentionally discriminated against black people.

6Supreme Court's Double Standard on Purcell Principle

The Supreme Court is accused of applying a double standard regarding the Purcell principle, which advises against altering election rules close to an election to avoid voter confusion and depressed turnout. The Court previously blocked new maps from going into effect for the 2022 midterms but is now rushing to allow new maps for the upcoming midterms, with both instances appearing to favor a particular political party, significantly damaging the Court's credibility and legitimacy.

It seems like the court the Supreme Court has a very has a double standard when it comes to the Purcell principle... they didn't allow new maps to go into effect in time for the midterms. Now they're like rushing to let, you know, new maps be drawn in time for the midterms. It just so happens that they tend to favor a particular party both times.

Lessons

  • Understand the legal mechanisms (like the Judgment Fund and Anti-Deficiency Act) that are being tested and potentially circumvented by executive actions and collusive litigation.
  • Monitor judicial decisions, particularly from the Supreme Court, for their impact on established legal principles and democratic processes, such as voting rights and election integrity.
  • Recognize how claims of executive immunity and non-adversarial settlements can challenge the separation of powers and governmental accountability, and consider their long-term implications for the rule of law.

Quotes

"

"If it was legal, it would. Uh there's no reason that any prior president hasn't done this except that it's illegal and unethical and corrupt."

David Super
"

"The president is clearly immune from prosecution under the Anti-Deficiency Act and everybody else involved is hoping the Justice Department will look the other way, which at the moment they certainly are."

David Super
"

"The Judgment Fund is a law passed by Congress... where judgments have been entered against the United States... those may be paid. ... But those settlements have to be arrived at consistent with federal law. And this one wasn't."

David Super
"

"It just so happens that they tend to favor a particular party both times. I mean, that to me is a huge blow on the credibility and legitimacy of the Supreme Court, which I know everybody listening is going to be like, 'What's new?' It's just still really gross."

Asha Rangappa

Q&A

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