Donald Trump Has Three Ways to Escape Bond Problem: Legal Analyst

Donald Trump has three main ways to avoid the liquidation of his real estate assets in New York following a civil fraud trial ruling, according to a legal analyst.

The former president and presumptive 2024 Republican nominee has until Monday to secure a $464 million bond or face the prospect of property and asset seizures.

Last fall, New York Judge Arthur Engoron found Trump liable for fraud and ordered him to pay a penalty of $355 million, which ultimately was increased to $454 million when interest was tacked on, as part of the civil fraud lawsuit filed by New York Attorney General Letitia James against Trump, his adult sons, and members of the Trump Organization.

On Monday, Trump's legal counsel said in a filing in a New York appeals court that they have been "unsuccessful in our effort to obtain a bond." That has included "diligent efforts" in approaching about 30 surety companies through four separate brokers, to no avail.

Attorney and CNN legal commentator Elie Honig on Thursday said in an appearance on the network's News Central that Trump has three realistic avenues in funding the $464 million, which includes covering his owns fines plus disgorgement for his sons Eric and Donald Jr., co-defendants in the case.

One way is to request a delay or get a reduction of the bond.

"First of all, Donald Trump has gone to the appellate division, the appeals court in New York, and has asked them to either delay the bond or reduce the amount," Honig said to CNN anchor John Berman. "He writes in his brief that he has tried 30 different companies, and he writes that posting a full bond here is a 'practical impossibility.'

"Now, the AG [James] filed a response last night. They said, 'We disagree, he needs to try different ways to do it.' "

Dennis Fan, senior assistant solicitor general in James' office, said in a Wednesday court filing that Trump's team hasn't adequately proven he can't secure the bond, writing: "Defendants' new factual allegations and legal arguments fail to support their extraordinary request for a stay based on a bond or deposit of less than one-fourth of the money-judgment amount."

Another avenue Trump could take, Honig said, is a "cash infusion" provided by a private party as part of a personal transaction unbeknownst to the general public.

And there's also the possibility of filing for bankruptcy, a method Honig seemed to sour on based on the "political embarrassment" it would reap in the court of public opinion.

"Bankruptcy is a possibility," Honig said. "People need to understand it's not a magic wand that makes every debt go away. But it would buy him time. Because if he declares bankruptcy—whatever the political embarrassment—it would put a stay, a pause, on all this collection."

Other potential but long-shot remedies include selling off real estate, which is a practical impossibility between now and Monday—plus bonding companies don't want to acquire and take on those costs, Honig said.

Another option in the long run is Trump owning somewhere in the range of $2 to $4 billion in Truth Social stock, as his social media company is believed to be going public in the coming days. However, the actual worth of the company is debated and that sale cannot take place until after a six-month grace period barring a special legal waver.

Trump has continually lashed out over the situation on his Truth Social platform, calling the case and other cases against him a "witch hunt."

"A bond of the size set by the Democrat Club-controlled Judge, in Corrupt, Racist Letitia James' unlawful Witch Hunt, is unConstitutional, un-American, unprecedented, and practically impossible for ANY Company, including one as successful as mine," Trump wrote on Truth Social on Monday. "The Bonding Companies have never heard of such a bond, of this size, before, nor do they have the ability to post such a bond, even if they wanted to."