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Home / Wire Stories / Across the Nation: Lawsuit alleges Trump business ties violate Constitution
President Donald Trump leaves the President's Room of the Senate at the Capitol on Jan. 20. (AP photo)
President Donald Trump leaves the President's Room of the Senate at the Capitol on Jan. 20. (AP photo)

Across the Nation: Lawsuit alleges Trump business ties violate Constitution

To fight what it called a “grave threat” to the country, a watchdog group on Monday filed a lawsuit alleging that President Donald Trump is violating the Constitution by allowing his business to accept payments from foreign governments.

The lawsuit claims that Trump is violating a clause in the Constitution that prohibits him from receiving money from diplomats for stays at his hotels or foreign governments for leases of office space in his buildings. The language in the clause is disputed by legal experts, and some think the suit will fail, but it signaled the start of a legal assault by Trump critics on what they see as unprecedented conflicts between his business and the presidency.

Trump called the lawsuit “without merit, totally without merit” after he signed some of his first executive actions Monday in the Oval Office.

The watchdog group Citizens for Responsibility and Ethics in Washington filed the lawsuit in the Southern District of New York.

The group is being represented by two former White House chief ethics lawyers: Norman Eisen, who advised Barack Obama, and Richard Painter, who worked under George W. Bush. The two have expressed frustration that Trump has refused to take their recommendation and divest from his business, and feel they had no choice but to take legal action.

“As the Framers were aware, private financial interests can subtly sway even the most virtuous leaders,” the lawsuit argues, “and entanglements between American officials and foreign powers could pose a creeping, insidious threat to the Republic.”

White House Director of Strategic Communications Hope Hicks said that “the president has no conflicts,” and referred to arguments made by Trump lawyer Sheri Dillon at the president’s press conference earlier this month.

Dillon has said the Framers did not intend for the so-called emoluments clause of the Constitution to ban fair-value exchanges, such as money for use of venue space or rooms at a hotel.

They didn’t think “paying your hotel bill was an emolument,” Dillon said at a news conference.

Trump drew fresh legal attacks from critics almost from the moment he took the oath of office on Friday.

The American Civil Liberties Union tweeted within minutes that it had filed a request under the Freedom of Information Act asking that government agencies hand over memos, emails and other private communications with Trump’s transition team on the conflicts issue. And a public petition was filed to the White House, the first one for the new administration, calling for Trump to immediately release his tax documents so the public would know if the new president was violating the emoluments clause.

The group behind Monday’s lawsuit also filed a complaint Friday addressed to the General Services Administration, an agency that oversees the lease of the Old Post Office building by Trump to house his new Washington hotel. The complaint argued the agency must cancel the lease because it expressly forbids an elected official from benefiting from it.

GSA officials promised to weigh in on the issue after Trump took office, but has not responded to repeated requests for comment. House Democrats on Monday sent a letter to Acting Administrator Timothy Horne seeking information about what the agency plans to do.

In the new lawsuit, the group faces several legal hurdles, including making the case that it even has standing to bring the suit.

“We have never had a president who has in a significant way accepted foreign payments.” said Noah Bookbinder, executive director of Citizens for Responsibility. “There are a lot of issues that have to be litigated for the first time.”

Bookbinder said his group will argue it has standing because the president’s violation has forced his organization to divert all it is resources to this fight rather than other issues, and therefore is harming it.

That line drew criticism from some legal experts.

“CREW’s argument for how it has standing to bring this lawsuit barely passes the laugh test,” said Robert Kelner, chairman of the election and political law group of the firm Covington & Burling and an experienced Republican attorney. “The courts will toss this one out.”

Edwin Williamson, a former State Department legal adviser, said that the group will struggle to prove its case. He said the emoluments clause does not apply the payment of a “market price” for a stay at a hotel.

“I don’t expect it to succeed,” Williamson, said, “and that doesn’t even get to the standing issue.”

In his news conference, Trump said that he would not sell his ownership in his company, but instead hand over control of his company to his two adult sons.

He announced several other measures in an attempt to mollify critics who contend that his financial interest as head of a global real estate company could conflict with his pursuit of the public good. He also vowed, for instance, that his company would strike no more deals abroad.

Trump also pledged to donate any profits from foreign governments using his hotels to the U.S. Treasury.

No modern president has taken office with as much wealth and as sprawling and opaque a business.

The Trump Organization has stakes in golf resorts and licensing deals for hotels and residential towers in about 20 countries. Those include ones with which the U.S. has sensitive relations, such as the Philippines, Indonesia, South Korea and Turkey.

Government ethics lawyers worry that U.S. interests could take a back seat to Trump’s financial concerns. And even if they don’t, the critics argue, people will try to curry favor with the new president by buying apartments in his towers or memberships in his golf resorts, raising doubts — fair or not— that U.S. policy is for sale.

Trump has repeatedly noted that federal rules on conflicts generally do not apply to the president. His lawyer, Dillon, a partner a Morgan Lewis and Brockius, has called his moves to limit conflicts “extraordinary.”

But the steps have been widely panned by government ethics lawyers as insufficient.

Eisen and Painter have urged Trump to sell his holdings and put the cash in a blind trust, following the example of recent presidents.

In refusing to release his tax returns, Trump is bucking another presidential tradition. He has said he would be happy to release them, but only after the completion of an Internal Revenue Service audit.

The public petition to the White House on Friday demanding he release them has gathered more than 250,000 signatures — well over the 100,000 needed to trigger an official response.

Senior adviser Kellyanne Conway said over the weekend it’s not happening. “The White House response is that he’s not going to release his tax returns,” Conway said on ABC’s This Week. “We litigated this all through the election. People didn’t care.”

Eisen and Painter are joined in the lawsuit by Constitutional law scholars Erwin Chemerinsky, Laurence H. Tribe, Zephyr Teachout, and Deepak Gupta of the law firm Gupta Wessler.

 

Florida judge accused of using slurs quits

TALLAHASSEE, Fla. — A Florida judge accused of making demeaning comments about women and saying black people should “go back to Africa” abruptly resigned on Monday ahead of possible impeachment.

Jacksonville-based Circuit Judge Mark Hulsey submitted a one-page resignation letter to Gov. Rick Scott on Monday, effective that morning.

The allegations against Hulsey surfaced last year as he sought a second six-year term. Hulsey denied all wrongdoing and won re-election. He was contesting the misconduct charges before the state’s Judicial Qualifications Commission. Because of the allegations, a chief judge had reassigned Hulsey to the probate division.

But the Florida House had also quietly begun to investigate the charges, a move that apparently prompted Hulsey to resign. This week a House committee was expected to consider whether to move ahead with impeachment proceedings, although the only public notice was a “report on preliminary findings” that did not mention Hulsey.

In late December, his lawyer said Hulsey “denies engaging in behavior creating or maintaining a hostile work environment for the administrative support staff or the staff attorneys. Judge Hulsey further denies making inappropriate comments regarding race or sex as he is not a racist or a sexist and does not conduct himself as such.”

Florida’s code for judges says that judges cannot do anything that would undermine the integrity of the office, demean the office or cast doubt on the ability of a judge to act impartially.

A judicial investigative panel filed a report last year that stated during a conversation with a staff attorney, Hulsey said black people should “go get back on a ship and go back to Africa.” During the initial phase of the investigation, Hulsey also allegedly ordered his judicial assistant to tell investigators he would never say anything derogatory about blacks or women.

Hulsey also is accused of referring to a staff attorney as a “b—-” and another derogatory term.

 

Texas judge cited for flipping off fellow jurist

EL PASO, Texas — A state district judge in El Paso is accused of shaking his middle finger at another judge in a fit of anger and now has a court date after being charged with disorderly conduct.

State District Judge Patrick Garcia is scheduled for trial in April after the El Paso County district attorney’s office determined the misdemeanor case should be prosecuted.

A county court judge filed a complaint after he says Garcia gave him the finger in November outside the county courthouse.

According The El Paso Times, Garcia was angry because he believed the lower court judge had undermined a plea agreement being arranged in Garcia’s court.

Garcia has told the newspaper he didn’t want to comment.

The other judge said in his complaint that he found the incident “humiliating.”

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