The Trump administration has escalated its legal confrontation with Harvard University, now seeking $1 billion in damages from the Ivy League institution in what appears to be an abrupt shift in settlement negotiations.
President Trump announced the increased demand late Monday evening, declaring that his administration “wants nothing further to do, into the future, with Harvard University.” The statement came in apparent response to reports suggesting the university had gained ground in ongoing settlement discussions with the federal government.
The president’s announcement marks a significant departure from previous settlement figures. Last September, Mr. Trump had indicated that negotiators were approaching a $500 million settlement agreement with Harvard, which would have included provisions for establishing new trade schools. More recently, the administration had reportedly reduced its demand to $200 million before Monday’s reversal.
According to the president’s statement, Harvard had proposed what he described as “a convoluted job training concept” as part of a settlement framework. The administration rejected this proposal, characterizing it as “wholly inadequate” and unlikely to succeed. Mr. Trump suggested the proposal was merely an attempt by Harvard to avoid a substantial cash settlement exceeding $500 million.
The president did not specify in his statement which laws Harvard had allegedly violated, though he described the purported infractions as “serious and heinous illegalities.”
The dispute centers on accusations by administration officials that Harvard and other major universities have promoted ideological positions while failing to adequately protect Jewish students during pro-Palestinian demonstrations on campus. The administration has filed multiple legal complaints and demanded substantial financial settlements from several institutions.
The federal government’s actions against Harvard have included freezing nearly $2 billion in federal research grants. Like many major research universities, Harvard depends significantly on federal funding to maintain its operations and research programs. This financial pressure has created what some observers consider an untenable situation for the institution.
However, the administration’s aggressive approach has encountered legal obstacles. In September, a federal district judge ruled that the Trump administration had violated Harvard’s First Amendment rights and federal law when it froze the university’s federal grants. The judge characterized the funding freeze as part of a “government-initiated onslaught” against the institution that was “much more about promoting a governmental orthodoxy in violation of the First Amendment than about anything else, including fighting antisemitism.”
Harvard has also pursued its own legal action against the federal government, challenging an administration policy that barred most international students from entering the United States to study at the university. The same federal judge subsequently ruled in Harvard’s favor, blocking that policy. The Justice Department has indicated it will appeal the decision.
The escalating financial demands and legal maneuvering suggest that resolution of this dispute remains distant. The administration’s willingness to increase its settlement demand by five times the most recent figure indicates a hardening of positions on both sides. Whether this represents a negotiating tactic or a genuine break in settlement discussions remains unclear.
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