During his New York bank fraud trial, former President Donald Trump made a controversial statement, arguing that the language in Mar-a-Lago’s 2002 deed was not legally binding. The deed, referred to as the “deed of development rights,” stated that the property could only be used as a club and not for any other purpose. However, Trump claimed that the use of the word “intend” in the deed did not guarantee that they would follow through with it.
The trial, which has already determined that Trump and his two sons committed fraud, revolves around the question of whether Trump defrauded banks by overestimating the value of Mar-a-Lago and other properties. New York Attorney General Letitia James argues that Trump’s inflated valuation of the Florida property, which at times reached $739 million, violated the deed restrictions, as it was based on the assumption that it could be sold as a private residence.
Furthermore, Trump’s continued residence at Mar-a-Lago, which he declared as his official residence after leaving the White House, is seen as a breach of the property contract by the attorney general’s office. The deed prohibits the construction of new buildings or renovations that would make the property suitable for a single-family residence.
While Trump claimed that no changes had been made to the property, he did admit to receiving tax benefits due to its designation as a club rather than a residential property. However, the National Trust for Historic Preservation, the party involved in the deed easement, may have a different legal position regarding Trump’s ability to disregard the binding nature of the document.
Trump expressed his willingness to keep Mar-a-Lago as a club, suggesting that it would be most valuable in that capacity. He proposed having only one member, who would also live in the club. However, the true value of the property will be a matter of contention in the coming weeks, according to Trump.
The trial continues to unfold, shedding light on the alleged bank fraud and the legal implications of the language used in Mar-a-Lago’s deed.
