President Trump Reaches Lawsuit Settlement with Justice Department

The Justice Department and former President Trump have settled a lawsuit concerning a $10 billion claim against the Internal Revenue Service and the Treasury Department. This settlement becomes evident through documents filed on Monday.

Trump accused these agencies of unlawfully allowing a contractor to leak his tax returns, along with those of his sons and his company. The lawsuit, initiated in Miami federal court in January in Trump’s personal capacity, argued that the government’s mishandling of his tax returns led to their unauthorized disclosure to the media in 2020.

Eric Trump, Donald Trump Jr., and the Trump Organization also joined the lawsuit as plaintiffs. The Justice Department and Trump’s legal team have remained silent on the settlement’s terms.

Last week, ABC News reported the case would likely be dismissed in exchange for creating a $1.7 billion fund. This fund is set to compensate Trump allies who allege wrongful targeting by the Biden administration.

Following the ABC News report, Trump’s legal team released a statement to CBS News. The spokesperson accused the IRS of wrongly permitting a politically motivated employee to leak confidential information. This information, concerning Trump, his family, and the Trump Organization, was allegedly disseminated to left-leaning outlets such as the New York Times and ProPublica, reaching millions illegally. Trump emphasized his commitment to accountability against those who wrong him and the American people.

In April, a court filing showed both parties requested deadline extensions. They aimed to resolve the dispute without extended litigation.

Melissa Quinn added contributions to this report.