Advertisement

Company set up by Michael Cohen offers to rescind Stormy Daniels’ hush money agreement

Click to play video: 'Trump lashes out at Cohen, defends hush money'
Trump lashes out at Cohen, defends hush money
WATCH: Trump lashes out at Cohen, defends hush money. – Aug 22, 2018

The company set up by Donald Trump’s former personal attorney, Michael Cohen, offered Friday to rescind Stormy Daniels’ hush-money agreement and dropped plans for its threatened $20 million lawsuit against the porn actress for allegedly violating the deal.

An attorney for Essential Consultants said the company wants Daniels to repay the $130,000 she was paid as part of the nondisclosure agreement, which was signed days before the 2016 presidential election, according to a letter included in a Friday night court filing.

WATCH: Stormy Daniels’ lawyer Michael Avenatti considering run for president

Click to play video: 'Stormy Daniels’ lawyer Michael Avenatti considering run for president'
Stormy Daniels’ lawyer Michael Avenatti considering run for president

Daniels, whose real name is Stephanie Clifford, claims she had an affair with Trump in 2006, which Trump denies, and was suing to invalidate the nondisclosure agreement.

Story continues below advertisement

The development could kill a plan by Daniels’ attorney, Michael Avenatti, to try to compel the president to provide testimony under oath, if the agreement is rescinded and a judge agrees to dismiss the case.

For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen.

Get breaking National news

For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen.
By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy.

WATCH: Stormy Daniels’ lawyer Michael Avenatti says it’s time to make America independent again

Click to play video: 'Stormy Daniels’ lawyer Michael Avenatti says it’s time to make America independent again'
Stormy Daniels’ lawyer Michael Avenatti says it’s time to make America independent again

Essential Consultants was set up by Trump’s former personal attorney, Cohen, who pleaded guilty in federal court last month to campaign-finance violations and other charges. Cohen told the judge that he and Trump had arranged the payment of hush money to Daniels and a former Playboy model to influence the election.

In addition to the offer to quash the agreement, Essential Consultants also agreed to back off its plan to fight Daniels in private arbitration and will not pursue a lawsuit against her, Brent Blakely, an attorney for the company said in a letter to Daniels’ lawyer. Cohen has said that Daniels could owe $20 million for violating the agreement.

Story continues below advertisement

Daniels’ lawyer, Michael Avenatti, told The Associated Press that Friday’s development is “a stunt by Michael Cohen trying to fix it so that Donald Trump is not deposed.”

Avenatti said he did not have to accept the offer and would not settle the case “without the depositions,” which he said would include Trump.

He believes the court should invalidate the agreement because it violated campaign finance laws, he said.

Daniels is also suing Trump and Cohen for defamation.

Sponsored content

AdChoices