`ESTTA725420
`02/07/2016
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`ESTTA Tracking number:
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`Filing date:
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`IN THE UNITED STATES PATENT AND TRADEMARK OFFICE
`BEFORE THE TRADEMARK TRIAL AND APPEAL BOARD
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`Proceeding
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`91217618
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`Party
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`Correspondence
`Address
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`Submission
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`Filer's Name
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`Filer's e-mail
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`Signature
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`Date
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`Defendant
`Trump Your Competition, Inc.
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`ROD UNDERHILL
`ROD UNDERHILL ESQ
`PO BOX 1238
`JULIAN, CA 92036-1238
`UNITED STATES
`MP3Rod@aol.com
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`Other Motions/Papers
`
`Rod Underhill
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`MP3Rod@aol.com
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`/RodUnderhill/
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`02/07/2016
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`Attachments
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`Binder A-9.pdf(913546 bytes )
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`
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`ATTACHMENT 7
`ATTACHMENT 7
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 1 of 35
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`ROBBINS GELLER RUDMAN
`& DOWD LLP
`JASON A. FORGE (181542)
`
`MOILrgrdlaw.com
`
` L. JENSEN (211456)
`rj ens en rgrdlaw.com
`HOM S R. MERRICK (177987)
`tmerrick rgrdlaw.com
`655 West roadway, Suite 1900
`San Diego, CA 92101
`Telephone: 619/231-1058
`619/231-7423 (fax)
`
`ZELDES HAEGGQUIST & ECK, LLP
`AMBER L. ECK (f77882)
`ambere((zhlaw.com
`HELENTI. ZELDES (220051)
`helenz zhlaw.com
`ALREN HAEGGQUIST (221858)
`alreenh zhlaw.com
`AARONM. OLSEN (259923)
`aarono@zhlaw.com
`625 Broadway, Suite 1000
`San Diego, CA 92101
`Telephone: 619/342-8000
`619/342-7878 (fax)
`
`Attorneys for Plaintiff and Proposed Class
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`UNITED STATES DISTRICT COURT
`
`SOUTHERN DISTRICT OF CALIFORNIA
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`ART COHEN, Individually and on
`Behalf of All Others Similarly Situated,
`
`vs.
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`DONALD J. TRUMP,
`
`Plaintiff,
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`Defendant.
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`Case No.
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`'13CV2519
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`DMS
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`RBB
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`CLASS ACTION
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`COMPLAINT FOR VIOLATIONS OF
`18 U.S.C. § 1962(c)
`
`883445_1
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`
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 2 of 35
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`Plaintiff Art Cohen ("Plaintiff'), by and through his attorneys, brings this action
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`on behalf of himself and all others similarly situated, against Donald J. Trump
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`("Defendant" or "Defendant Trump"). Plaintiff alleges the following based upon
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`information and belief, the investigation of counsel, and personal knowledge as to the
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`allegations pertaining to him.
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`NATURE OF THE ACTION
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`1.
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`Defendant ensnared Plaintiff and thousands of other student-victims in a
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`fraudulent scheme nationwide to sell real estate seminars and mentorships ("Live
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`Events") by trading on the Trump moniker. Defendant uniformly misled Plaintiff and
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`the Class that they would learn Donald Trump's real estate secrets through him and
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`his handpicked professors at his elite "University." The misleading nature of the
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`enterprise is embodied by its very name. That is because, though Defendant promised
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`"Trump University," he delivered neither Donald Trump nor a University.
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`2.
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`Defendant expressly set out to leverage Donald Trump's fame and
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`expertise as a real estate mogul by creating "Trump University," which Defendant
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`marketed as a premier institution of higher learning rivaling Wharton Business
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`School, and with which Trump was so integrally involved, students would effectively
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`be learning from him. 1 Defendant marketed Trump University as `the next best thing
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`to being Trump's "Apprentice," referencing Trump's hit reality television series.
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`3.
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`In a promotional video for Trump University posted on YouTube,
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`embedded in email blasts, and shown at Trump University Live Events (hereinafter,
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`I the "Main Promotional Video"), Trump himself promised would-be student-victims:
`We're going to have professors and adjunct professors that are
`absolutely terrifc. Terrific people. Terrific brains. Successful. The
`best. We are going to have the best of the best. And, honestly, if you
`don't learn from them, if you don't learn front sne, if you don't learn
`from the people that we're going to be putting forward, and these are all
`people that are handpicked by jne, then, you're just not gonna make it in
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`1 (cid:9)As detailed herein, Trump University changed its name to Trump Entrepreneur
`Initiative on June 2, 2010.
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`883445_1 (cid:9)II (cid:9)
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`- 1 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 3 of 35
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`terms of the world of success. And that's okay, but you're not gonna
`make it in terms of success.
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`4.
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`Defendant mass mailed to Plaintiff and the Class a "Special Invitation
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`from Donald J. Trump" to the free introductory Live Event, adorned with the Trump
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`University coat of arms and promising: "My hand-picked instructors and mentors
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`will show you how to use real estate strategies
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`...." The letter continues that with
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`"ongoing support from your own Team of Trump Experts — you'll have what you
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`need to succeed!" The letter closes with Donald J. Trump's name, signature, and
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`Trump University's address at 40 Wall Street, 32nd Floor, New York, NY 10005.
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`5.
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`Trump gave himself a prominent, if not exclusive, role in the national
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`advertising campaign for "Trump University." However, Trump did not fulfill the
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`promises he made to student-victims around the country — he did not teach students
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`his coveted real estate investing "secrets" at the Live Events, he did not contribute in
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`any meaningful way to the curriculum for the Live Events, and he did not handpick
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`the Live Event seminar instructors and mentors who "taught" student-victims at 3-day
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`Live Events and Elite mentorship programs — both of which were upsells from the free
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`introductory Live Event called the "Preview."
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`6.
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`Almost immediately after Trump founded Trump University, the New
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`York State Education Department ("NYSED") wrote to Donald Trump on May 27,
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`2005, warning him that using the name "University" was illegal without a license, and
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`asked Trump to stop using the name "Trump University." Instead of complying,
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`Defendant's agents created a fictitious office in Dover, Delaware, and then Defendant
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`continued to brazenly operate illegally out of his 40 Wall Street office in New York,
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`New York for five years. On March 30, 2010, the NYSED wrote to Donald Trump
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`and again advised that use of the title "University" in the name of his corporation was
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`"misleading" and illegal. On June 15, 2010, NYSED wrote to Trump University
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`2 (cid:9)Emphasis is supplied and citations and internal quotation marks omitted here
`and throughout, unless otherwise noted.
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`883445_1 (cid:9)II (cid:9)
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 4 of 35
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`1 directing Defendant to cease any further training until Trump University obtained a
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`2
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`license to operate as an institution of higher learning. The NYSED demanded: "All
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`3 current students should be refunded" and warned that failure to comply with the law
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`4 "may result in disciplinary action." Defendant did not give students refunds, but did
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`5 stop offering and selling Live Events shortly thereafter in or about August 2010.
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`6 However, Defendant has made multiple statements that he intends to resume Trump
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`7 University courses in the future.
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`(cid:9)7
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`8
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`. (cid:9)At least 11 Attorneys General and the U.S. Department of Justice have
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`9 received numerous complaints about Trump University; the Texas Attorney General's
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`10 investigation into misleading advertisements by Trump University ultimately led to
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`11 the suspension of Live Events in that state; and a year after the filing of a related class
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`12 action in this Court, the New York Attorney General launched an investigation into
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`13 Trump University's deceptive practices. And, due to Defendant's misleading
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`14 advertisements and marketing of Trump University as a "University," the Better
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`15 Business Bureau ("BBB") refused to accredit Trump University and gave it a D- grade
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`16 due to the many complaints lodged by consumers.
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`(cid:9)8
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`17
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`. (cid:9)Plaintiff brings this class action on behalf of himself and all other
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`18 ~ similarly-situated consumers who purchased Trump University Live Events
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`19 throughout the United States, asserting violations of the Racketeer Influenced and
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`20 Corrupt Organizations Act ("RICO Statute"), 18 U.S.C. § 1962(c).
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`(cid:9)9
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`21
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`. (cid:9)Plaintiff seeks damages and equitable relief on behalf of himself and the
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`22 Class, including, but not limited to: treble their monetary damages; restitution;
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`23 injunctive relief; punitive damages; costs and expenses, including attorneys' and
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`24 expert fees; interest; and any additional relief that this Court determines to be
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`25 necessary or appropriate to provide complete relief to Plaintiff and the Class.
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`(cid:9)J
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`26
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`URISDICTION AND VENUE
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`(cid:9)1
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`27
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`0. This Court has original jurisdiction over the subject matter of this action
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`28 pursuant to 28 U.S.C. § 1331, because Plaintiff's claims arise under the RICO Statute,
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`883445_1 (cid:9)11 (cid:9)
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`- 3 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 5 of 35
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`1 18 U.S.C. § 1962. The Court has diversity jurisdiction under 28 U.S.C. § 1332 because
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`2 Plaintiff resides in California, and Defendant resides in New York. This Court also
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`3 has original jurisdiction over this action under the Class Action Fairness Act of 2005,
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`4 28 U.S.C. § 1332(d)(2) ("CAFA"), as to the named Plaintiff and every Class Member,
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`5 because the proposed Class contains more than 100 members, the aggregate amount in
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`6 controversy exceeds $5 million, and Class Members reside across the United States
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`7 and are therefore diverse from Defendant.
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`(cid:9)1
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`8
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`1. This Court has personal jurisdiction over Defendant because he has
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`9 significant minimum contacts with this State, and intentionally availed himself of the
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`10 laws of California by transacting a substantial amount of business throughout the State
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`11 and this District, including but not limited to, the promotion, marketing, advertising,
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`12 and sale of Trump University Live Events throughout California and San Diego
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`13 County, and on the Internet to consumers located throughout California and San
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`14 Diego County.
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`(cid:9)1
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`15
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`2. Venue is proper under 18 U.S.C. § 1965(a), because Defendant is subject
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`16 to personal jurisdiction in this District as alleged above, and Defendant has agents
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`17 located in this District.
`(cid:9)
`18
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`19 A. (cid:9)Plaintiff
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`PARTIES
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`(cid:9)1
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`20
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`3. Plaintiff Art Cohen is a businessman and resident of the state of
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`21 California. Cohen learned about Trump University in 2009 when he saw an
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`22 advertisement in the San Jose Mercury News, which is delivered daily to his home.
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`23 Cohen believes that he also received by mail a "special invitation" to Trump
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`24 University from Donald Trump, which included 2 VIP tickets to the free seminar.
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`25 Cohen was lured in by Donald Trump's name and reputation as a real estate expert.
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`26 Cohen attended the Preview Live Event at the Fremont Marriott Silicon Valley in
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`27 Fremont, California, on April 29, 2009, where Cohen was shown the Main
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`28 Promotional Video. Based on Defendant's misrepresentations and material omissions
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`883445_1 (cid:9)11 (cid:9)
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`- 4 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 6 of 35
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`1 that he would receive Donald Trump's real estate secrets from his handpicked
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`2 "professors" and mentors at his "University," Cohen purchased the $1,495 Fast Track
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`3 to Foreclosure Real Estate Retreat, which he attended from May 8-10, 2009, at the
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`4 Sheraton Palo Alto Hotel in Palo Alto. At the 3-day event, Cohen was upsold to the
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`5 Gold Elite program, which he purchased on May 10, 2009, for $34,995, plus the
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`6 interest and finance charges paid to his credit card.
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`(cid:9)1
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`7
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`4. Plaintiff would not have paid for any of the Trump University programs
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`8 had he known that he would not have access to Donald Trump's real estate investing
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`9 secrets, that Trump had no meaningful role in selecting the instructors for the Live
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`10 Events, and/or that Trump University was not a "University," as Defendant had
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`11 represented to him.
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`12 B. (cid:9)Defendant
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`(cid:9)1
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`13
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`5. Donald J. Trump resides in the State of New York. Trump was a founder
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`14 and Chairman, officer, director, managing member, principal and/or controlling
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`15 shareholder of Trump University. Defendant Trump is also Chairman of the board of
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`16 directors, President and CEO of the Trump Organization, a conglomerate of
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`17 companies which includes Trump University.
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`(cid:9)1
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`18
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`6. Defendant Trump received revenues paid to Trump University from
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`19 Plaintiff and other Class Members through two or more shell companies, including
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`20 DJT University Managing Member LLC (now DJT Entrepreneur Managing Member
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`21 LLC), a New York Limited Liability Company, and DJT University Member LLC
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`22 (now DJT Entrepreneur Member LLC), a New York Limited Liability Company.
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`(cid:9)1
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`23
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`7. Defendant Trump has conducted substantial business within the State of
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`24 I California, including this District.
`8. Defendant Trump approved, authorized, either specifically and/or tacitly
`25
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`(cid:9)1
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`26 directed, ratified and/or participated in the acts complained of herein engaged in by
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`27 Trump University and its personnel.
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`28
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`883445_1 (cid:9)(I (cid:9)
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`- 5 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 7 of 35
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`(cid:9)
`1
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`COMMON FACTUAL ALLEGATIONS
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`2 A. The Scheme
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`(cid:9)1
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`3
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`9. Defendant Trump and others, including but not limited to, the former
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`4 President of Trump University, Michael Sexton, devised and executed a scheme to
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`5 make tens of millions of dollars by marketing Trump University as both: (1) a learning
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`6 institution with which Donald Trump was so integrally involved that students would
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`7 effectively be learning from him because, among other reasons, they would be
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`8 learning his real estate secrets from instructors whom he had handpicked; and (2) an
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`9 actual university with a faculty of professors and adjunct professors.
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`(cid:9)2
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`10
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`0. This "Scheme" was fueled by a national advertising campaign, the
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`11 cornerstone of which was the Main Promotional Video. Defendant Trump caused the
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`12 Main Promotional Video to be published to YouTube online so it would be viewed by
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`13 prospective student-victims throughout the country. Trump University operated an
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`14 extensive advertising campaign with an annual budget at one time of $6 million, and a
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`15 database of over one million current and potential customers, which it targeted with
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`16 frequent email blasts. These e-blasts contained misrepresentations and/or links to
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`17 view the Main Promotional Video on YouTube, and/or Trump University's Facebook
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`18 page, Twitter account, and/or LinkedIn profile. When Trump University introduced
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`19 the Donald Trump "signature" campaigns (featuring Donald Trump's signature in
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`20 letters and ads) including "Are YOU My Next Apprentice?" and "Learn From the
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`21 Master," consumer responses jumped by over 50%. And though personnel knew it
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`22 was false to claim the instructors were handpicked by Defendant Trump, Defendant
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`23 continued to use this catch-phrase as a marketing hook.
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`(cid:9)2
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`24
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`1. Other methods and means that Defendant Trump and others used to
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`25 execute and perpetuate the Scheme included the following:
`(cid:9)
`26
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`(a) Defendant Trump reviewing and approving advertisements before
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`27 I they were released, which featured quotes from Defendant Trump himself, such as: "I
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`883445_1 (cid:9)II (cid:9)
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`- 6 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 8 of 35
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`1 can turn anyone into a successful real estate investor, including you. — Donald
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`Trump."
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`(b) Using Defendant Trump's name, photos and/or quotes for all Live
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`Events, website and advertising, and the website home page displayed a large photo of
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`Defendant Trump along with the message from him: "Are YOU My Next Apprentice?
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`Prove it to me!"
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`(d) Using advertisements featuring Defendant Trump and his image
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`with quotes such as: "Don't think you can profit in this market? You can. And I'll
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`show you how. Learn from my handpicked experts how you can profit from the
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`23
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`largest real estate liquidation in history."
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`(e)
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`Sending emails to thousands or tens of thousands consumers from
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`Trump University's one million customer database that featured Defendant Trump's
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`photo with the words: "Are you My Next Apprentice," and stated: "76% of the
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`world's millionaires made their fortunes in real estate. Now it's your turn. My father
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`did it, I did it, and now I'm ready to teach you how to do it too." The signature block
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`883445_1 (cid:9) — 7 —
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`
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 9 of 35
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`at the bottom of the email read, Donald J. Trump, Chairman, Trump University, and
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`above that is Defendant Trump's actual signature.
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`From: Tw.mp tlnWerstly <en'aitdi tr rrumpun vor sily.am>
`To: branton
`Sent: Thu, April Oh, 2(110 12:06:00 PM (cid:9)- (cid:9) -
`Subject: Enooprer+eurs Needed to be toy Ned Apprentice
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`I want people who want success.
`
`II you Think BIG and beliove you've got what it takes to succeed, I want youl
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`76°r, of the world's mflllonnires mach their
`fortunes In reel estate. Now Its your turn. My
`father did It. I did It, and new I'm ready to teach
`you how to do If too.
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`I'm also going to give you my
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`absolutely FREE when you attend.
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`ilntited and dry Trump Workshops
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`My :cam of Font eslata exports ai Rump Ucivorsity is
`coming to your area in the pout law cays to conduct
`my Free Intro Apprenticeship Wmksh:p. It you think
`you've got what It takes to bony pout Apprentice,
`step up and attend, You shoold also bring along a
`rusted partner. Th{s Is YOUR cpporlunity to create
`weaith anti take cenfrol of your own financial return
`with proven strato0los that work in the current real
`estate market.
`
`Attend the Free Intro Approeltoeshlp Workshop to
`learn how te. (cid:9)-
`
`Buy proportion from bank; at DEEP dismounts
`Use sired sales to CONTROL property
`I- (cid:9)Increase your tinxcche. POWER vnlh bvorege
`Negottoto PROFITABLE dosis that steel your
`peals
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`0. (cid:9)Att.uod and tnon now to develop the
`CONFIDENCE to succeed I, rent estate
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`See you at the Copt
`
`Dnnu d J Trump
`Crmrtman, Tromp Universlty
`
`(f) (cid:9)Sending signed letters through the mails to consumers nationwide,
`I with Defendant Trump's name and signature at the bottom, stating: "[N]o course
`offers the same depth of insight, experience and support as the one bearing my name.
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`. My hand-picked instructors and mentors will show you how to use real estate
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`strategies to: [s]upplement or even replace your income, [s]ecure your long-term
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`financial future ... [s]tart profiting today! Now is the time to create your financial
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`28
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`legacy. You can do it, even if you only have five or ten hours a week to spare. With
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`883445_1 (cid:9)II (cid:9)
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`— 8 —
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`
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 10 of 35
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`1 our simple instructions and practice exercises — and ongoing support from your own
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`2 Trump Team of Experts — you'll have what you need to succeed!"
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`(Second
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`3 emphasis in original). The letter closed with Donald J. Trump's name, signature, and
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`4 address, at 40 Wall Street, 32nd Floor, New York, NY 10005.
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`(g)
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`Sending substantially-similar signed letters through the mails to
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`consumers nationwide addressed as "Dear Friend" from Donald Trump promising:
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`"Come to my free class. In just 90 minutes, my hand-picked instructors will share my
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`techniques, which took my entire career to develop," and signed "Sincerely, Donald
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`Trump" with Defendant Trump's signature. (Emphasis in original). The letter
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`enclosed two "VIP" tickets to an upcoming Preview Live Event in the consumer's
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`area.
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`(h) Delivering to student-victims, who were in the midst of the Trump
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`University $1,495 Fulfillment Live Event and whom Trump University was trying to
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`persuade to sign up for the Elite program, a personalized (addressed to them by name)
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`letter from Donald J. Trump. The letter bore the Trump logo at the top of the letter
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`and the words "From the Office of Donald J. Trump." The letters stated:
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`Success in real estate begins with great training and proven
`strategies. Without education you don't stand a chance.
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`I know how to make money in real estate. I've been doing it for a
`long time with a lot of success. My family has been a leader in real estate
`since my father — Fred Trump — started building residential homes in
`New York City 75 years ago. My father was my mentor and he taught
`me a lot. Now I want to teach you how to make money in real estate. fo
`be my apprentice you need to Think BIG and really want to succeed.
`More than anything, you need to take action.
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`Do YOU have What It Takes to Be My Next Apprentice?
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`I only work with people who are committed to succeed. I founded
`Trump University back in 2005 to teach go-getters how to succeed in
`real estate. My team at Trump University is filled with real estate experts
`. proven winners. We're the best of the best and we know what
`works. If you think you have what it takes to be my next apprentice,
`prove it to me.
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`We've trained thousands of real estate investors over the years and
`we know you will be most successful when you work with a partner...
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`883445_1 (cid:9)
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`- 9 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 11 of 35
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`If you 're serious about making money and safeguarding your
`future, learn to invest in real estate. Trump University will teach you
`how. We'll give you the best training and the confidence to succeed. If
`you think you've got what it takes to be my next Apprentice, come prove
`it to me and my team.
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`The letter closes with "See you at the top!" And, it is signed, "Donald J. Trump,
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`~ Chairman, Trump University."
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`(i)
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`Promising students that "[t]here are many real estate investment
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`'seminars available but this is the only one designed by Donald Trump ' s personal
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`advisors , to show you step -by-step how to create quick cash immediately , and how to
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`build a large monthly cash flow WITHOUT using any of your own money or credit."
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`(j)
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`Enforcing the uniform deceptive portrayal of Trump University
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`I through policies and procedures , including Marketing Guidelines , the PlayBook, and
`standardized PowerPoint presentations and scripts that instructors were contractually
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`required to use. For example , the Marketing Guidelines were designed to "ensure
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`brand, tone and message across all Trump University's marketing efforts." The
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`"tone" required by those Marketing Guidelines was to "Think of Trump University as
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`a real University with a real Admissions process, i . e., not everyone who applies, is
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`accepted ." The Guidelines also required that personnel use the term "faculty" which
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`was to be marketed as comprised of Donald Trump ' s "top experts."
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`(lc) (cid:9)Sending scripts containing misrepresentations to instructors for use
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`at the Live Events through the interstate wires, such as the Preview Script sent from
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`Michael Sexton to primary instructors , including James Harris and Stephen Goff. The
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`speaker was required to use the official Trump University script and PowerPoint, and
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`not make any changes without prior authorization pursuant to the PlayBook and
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`his/her contract. Defendant Trump has concealed this speaker script that was used to
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`execute his Scheme. Excerpts of the concealed speaker script include:
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`883445_1 (cid:9)II (cid:9)
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`- 10 -
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`(cid:9)
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 12 of 35
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`TI-11 III pUnivel-sity
`'Preview Script — Version 3.0
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`Slide 01: Trump University Title Slide
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`Slide 02: The Trump University Apprenticeship Program
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`Ladies and gentlemen, I'd like to welcome you to our presentation tonight on
`behalf of Mr. Donald Trump and Trump University. My name is (lecturer
`rranrej. I'm a member of the faculty at Trump University. Let's talk a little
`about Donald Trump.
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`Slide 03: Trump Montage
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`Who here thinks they know Donald Trump? Hands up. Very good. Let's play
`this little game to get you in the mood of things.
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`ill
`(cid:9)
`12 1
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`* (cid:9)* (cid:9)*
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`I remember one to time Mr. Trump said to its over dinner, he said "real estate
`is the only market. that when there is a sale going on people run from the
`store". You don't vvKnrt to run from the store.
`* (cid:9)* (cid:9)*
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`First we will show you Donald "Frump's negotiating system. Nobody
`negotiates better than Donald. We'll show you how he does it, why he does it,
`and how you can make it work for you. We will share with you marketing
`pieces for both finding and selling properties, and again I'll say this to you as I
`have before. One of the critical things is being able to got out of a property
`when the time is right for you. And that is what we'll show you how to do.
`
`* (cid:9)* (cid:9)*
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`Slide 57: Risk Free Guarantee
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`Making money may not be enough ror some of you. You have lost, thousands
`in the markets, but you worry about the $ 1495 that you pay here tonight-.
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`('Trial Glasu): Some of you are still worried. You say: I am convinced that
`Trump University is the real deal. 1 am convinced that Donald Trump
`can teach inc how to make money in real estate. 1 am convinced that I
`don't have it chance of recovering my 401.1c losses unless I do something.
`
`* (cid:9)* (cid:9)*
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`8834451 (cid:9)II (cid:9)
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`- 11 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 13 of 35
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`Slide 58: Take Control of Your Life
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`When you enroll in Trump University and make use of our systems, specific
`knowledge and continuing support, you will be taking control of your life.
`You will create a new normal for yourself; one that is much morn enjoyable
`and rewarding than Your current situation.
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`Follow the proven practices, philosophy and guidance of Donald 'frump.
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`(1) (cid:9)Promising students in blogs posted on Trump University's website
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`that Defendant Trump would be actively involved in Trump University and its
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`courses:
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`rew out of any desire to impart my business
`Trump University
`knowledge, accumulated over the years, and my realization that there is
`a huge demand for practical, convenient education that teaches success.
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`I want the people who go to Trump University to succeed, and I
`plan to do tray part to help them. I'm not just putting my name on this
`in the curricula. The website,
`venture; I plan to be an active presence
`www.trumpuniversity.com , will include such features as "Ask Mr.
`the blog you're reading
`Trump," in which I answer your questions;
`now; video clips of me; and more. My words, ideas, and image will also
`be woven into the courses we create. The reason I'm playing such an
`active role in Trump University is that I truly believe in the power of
`education.. . . [T]he people who go to Trump University want to be
`successful, and I'm on their side.
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`Another blog written under Defendant Trump's name promised: "Ihave to believe in
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`whatever Iput my name on, and it has to reflect who I truly am. To do otherwise
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`would be a disservice to me, my loyal customers, and prospective customers."
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`(m) Promising that he would personally select and answer students'
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`questions in a forum called "Ask Donald Trump," when the questions were selected
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`and the answers written by a same ghost writer (who was not a real estate expert).
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`- 12
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`(cid:9)
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 14 of 35
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`T F& U J4 '
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`Ask Donald Trump
`
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`tu3 (cid:9); t:.4 ht i%..5+:f, -duce. itir4 i )e-a s I , Mimi - ON, itS
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`;, iarYt} t.3btaal" tOOi, CU (cid:9)to ;').ir t~.;u,Mara (rt ar,:;tvcieCl ~
`Sit@pic. ,`,lfn cuft32.flt aalS\ rS postei Aa1 the (Ptif114' ~.f~'(~'.
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`Y.
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`(cid:9)Pry rt t ttlbsrti uuu this tsa+ute
`
`
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`s
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`' `e `•" ~'x :~ .w (cid:9) writ (cid:9) :.k (cid:9) f (cid:9) `<
`:.......:..:. (cid:9).
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`I B. (cid:9)The Truth
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`22. Defendant knew that these representations were false, that Defendant
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`Trump was not actively involved in Trump University's Live Events, did not select or
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`interview Trump University's Live Event instructors or mentors, that Defendant
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`Trump offered no input into the actual instruction provided to Trump University's
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`student-victims, that a ghost writer wrote the Donald Trump blogs and wrote most or
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`all of the answers to the "Ask Donald Trump" questions and that Trump University
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`did not have a faculty of professors and adjunct professors, but rather independent
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`contractors paid commissions for sales. In other words, Defendant promised Trump
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`University, but delivered neither Donald Trump nor a University.
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`883445_1 (cid:9)II (cid:9) - 13 -
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`Case 3:13-cv-02519-DMS-RBB Document 1 Filed 10/18/13 Page 15 of 35
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`(cid:9)1
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`1
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`. (cid:9)Not Donald Trump
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`(cid:9)2
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`3. Though Defendant Trump represented that he would be so integrally
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`3 involved that Trump University was effectively learning from him, Defendant
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`4 Trump's involvement was "completely absent," as Defendant Trump has admitted in
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`5 court filings. Defendant Trump had virtually no involvement in determining, nor was
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`6 he even aware of, what the instructors actually taught or what the courses were.
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`(cid:9)2
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`7
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`4. Though Defendant Trump represented that all of Trump University's
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`8 instructors would be handpicked by him, thus implying that students would get the
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`9 next best thing to Defendant Trump himself, it was Sexton and COO David
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`10 Highbloom who interviewed the instructors and was in charge of hiring instructors. It
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`11 was also Sexton — not Defendant Trump — who would know what, if any, education,
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`12 professional experience, testing, and/or licenses was required of instructors. In most
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`13 cases, Defendant Trump did not even know who the instructors or mentors were, nor
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`14 had he met them.
`
`(cid:9)2
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`15
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`5. Though the entirety of Defendant Trump and Trump University's
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`16 marketing and advertising campaigns were centered around Defendant Trump's real
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`17 estate expertise and access to Defendant Trump's coveted real estate "secrets," Trump
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`18 University did not teach Donald Trump's real estate "secrets" as promised. Rather,