American Media Inc., the parent company of the National Enquirer, reached a settlement on Wednesday with former Playboy model Karen McDougal, letting McDougal out of a contract that prevented her from being able to speak about an affair she says she had with President Trump.
In 2016, American Media gave McDougal $150,000 in exchange for the exclusive rights to her story about Trump, but it never ran the article. In her lawsuit, McDougal accused American Media of misleading her into signing the contract and alleged that Trump's personal lawyer, Michael Cohen, was secretly involved in talks between American Media and her attorney at the time, Keith Davidson. Cohen is part of a federal corruption investigation, and his home, office, and hotel room were raided last week by FBI agents who seized documents in connection with McDougal, The New York Times reports.
McDougal's attorney, Peter Stris, said under the terms of the settlement, McDougal can keep the $150,000 payment, while American Media has the right to up to $75,000 of any future profits from the story. Trump, who is friends with American Media Chairman David J. Pecker, has denied the affair ever happened. McDougal said she is "doing my victory dance," and does not yet have plans to sell her story to another outlet.
The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
-
Taking aim at Venezuela’s autocratFeature The Trump administration is ramping up military pressure on Nicolás Maduro. Is he a threat to the U.S.?
-
Comey indictment: Is the justice system broken?Feature U.S. attorney Lindsey Halligan has indicted former FBI Director James Comey on charges of lying and obstructing Congress
-
Government shuts down amid partisan deadlockFeature As Democrats and Republicans clash over health care and spending, the shutdown leaves 750,000 federal workers in limbo
-
Judge bars Trump’s National Guard moves in OregonSpeed Read In an emergency hearing, a federal judge blocked President Donald Trump from sending National Guard troops into Portland
-
Museum head ousted after Trump sword gift denialSpeed Read Todd Arrington, who led the Dwight D. Eisenhower Presidential Library and Museum, denied the Trump administration a sword from the collection as a gift for King Charles
-
Trump declares ‘armed conflict’ with drug cartelsspeed read This provides a legal justification for recent lethal military strikes on three alleged drug trafficking boats
-
Supreme Court rules for Fed’s Cook in Trump feudSpeed Read Federal Reserve Governor Lisa Cook can remain in her role following Trump’s attempts to oust her
-
Judge rules Trump illegally targeted Gaza protestersSpeed Read The Trump administration’s push to arrest and deport international students for supporting Palestine is deemed illegal
-
Trump: US cities should be military ‘training grounds’Speed Read In a hastily assembled summit, Trump said he wants the military to fight the ‘enemy within’ the US
-
US government shuts down amid health care standoffSpeed Read Democrats said they won’t vote for a deal that doesn’t renew Affordable Care Act health care subsidies
-
YouTube to pay Trump $22M over Jan. 6 expulsionSpeed Read The president accused the company of censorship following the suspension of accounts post-Capitol riot
