Rudy Giuliani is ordered to pay $1.36 million in legal bills

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By MICHAEL R. SISAK

NEW YORK (AP) — It’s another blow to Rudy Giuliani’s withered wallet: A judge has ordered the former New York City mayor to pay $1.36 million in legal fees he racked up during investigations into his efforts to overturn President Donald Trump’s 2020 election loss.

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Judge Arthur Engoron made the ruling Tuesday in a lawsuit brought by lawyer Robert Costello and the law firm Davidoff Hutcher & Citron LLP. In granting summary judgment for Costello and the firm, Engoron rejected Giuliani’s claim that he never received any bills for legal fees.

With interest, Giuliani owes nearly $1.6 million. He must also pay lawyer costs that Costello and the firm incurred in fighting to recoup his unpaid legal fees, the judge ruled.

Engoron, a Democrat, is the same Manhattan judge who last year ordered Trump to pay a massive civil penalty after finding that he had engaged in fraud by exaggerating his wealth for decades. The fine ballooned to more than $500 million with interest before an appeals court overturned it last month.

Giuliani’s spokesperson said the ex-mayor will appeal.

“The idea that Judge Arthur Engoron is permitted to sit on a case involving President Donald Trump’s good friend and former personal lawyer, Mayor Rudy Giuliani, flies in the face of justice and demonstrates the partisan political nature of this decision,” Giuliani spokesperson Ted Goodman said.

Messages seeking comment were left for Costello and Davidoff Hutcher & Citron.

The decision is the latest financial setback for Giuliani, once celebrated as “America’s mayor” for his leadership after the Sept. 11, 2001, attacks.

In recent years, the Republican has filed for bankruptcy; been threatened with jail for failing to pay money owed to his third ex-wife, Judith; and reached an undisclosed settlement to keep his homes and belongings, including prized World Series rings, after he was ordered to pay $148 million to two former Georgia elections workers he defamed.

Last month, Giuliani, 81, sustained a fractured vertebra and other injuries in a car crash in New Hampshire. Soon after, Trump announced he was awarding Giuliani the Presidential Medal of Freedom, the nation’s highest civilian honor.

Costello and Davidoff Hutcher & Citron LLP sued Giuliani in 2023, accusing him of paying only a fraction of nearly $1.6 million in legal fees for their work representing him in investigations related to his alleged election interference.

Giuliani was disbarred in New York and Washington for repeatedly making false statements about the 2020 election, and he was criminally charged in Georgia and Arizona in connection with efforts to undo Trump’s loss to Democrat Joe Biden. Giuliani has denied wrongdoing.

Costello and the law firm alleged Giuliani paid them just $214,000, leaving a $1.36 million tab. Giuliani’s last payment was $10,000 on Sept. 14, 2023, about a week after Trump hosted a $100,000-a-plate fundraiser for Giuliani at his Bedminster, New Jersey, golf club.

Costello was Giuliani’s lawyer from November 2019 to July 2023. He represented Giuliani in matters ranging from an investigation into his business dealings in Ukraine, which resulted in an FBI raid on his home and office in April 2021, to state and federal probes of his work in the wake of Trump’s 2020 election loss.

Costello and the firm said in their lawsuit that they also helped represent Giuliani in various civil lawsuits filed against him and in disciplinary proceedings that ultimately led to his disbarment. The lawyer and the law firm accused Giuliani of breaching a retainer agreement by failing to pay invoices in full in a timely fashion.

Costello, a former federal prosecutor, has since left Davidoff Hutcher & Citron LLP and was hired last in September 2024 as a lawyer for Republican-controlled Nassau County on Long Island.

Last year, Trump’s lawyers called Costello as a witness at the president’s hush money criminal trial in an effort to attack the credibility of a key prosecution witness, former Trump lawyer and fixer Michael Cohen. Costello irritated the judge, Juan M. Merchan, by making comments under his breath, rolling his eyes and calling called the whole exercise “ridiculous.”

Cracker Barrel expects weaker sales and restaurant traffic after logo controversy

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By DEE-ANN DURBIN

Cracker Barrel said Wednesday it expects lower sales and weaker customer traffic in the coming year as the controversy over its planned logo change continues to play out.

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In a conference call with investors, Cracker Barrel said traffic at its restaurants was down 1% in early August, before it announced it was adopting a more simplified logo. The new logo dropped the image of an older man in overalls leaning on a barrel and removed the words “Old Country Store.”

But after the announcement on Aug. 18 and the outcry that followed from many longtime fans, restaurant traffic dropped 8%. Cracker Barrel said Wednesday that traffic will likely be down between 7% and 8% in the first quarter and could decline 4% to 7% for the full 2026 fiscal year.

Cracker Barrel’s shares dropped 9% in after-hours trading Wednesday.

Cracker Barrel CEO Julie Felss Masino said the company conducted extensive research before releasing the new logo and launching a plan to remodel its 660 U.S. restaurants. The company has since scrapped the new logo and paused the remodeling.

Masino said the four restaurants that have been remodeled — with new paint, new lighting, more comfortable seating and other changes — will be transitioned back to their former decor. Remodels that had begun at 58 other restaurants will also be halted, she said.

“What can not be captured in data is how much our guests see themselves and their own story in the Cracker Barrel experience, which is what’s led to such a strong response to these changes,” Masino said during a conference call with investors Wednesday.

Masino said Cracker Barrel will continue other aspects of its plan to boost sales and attract new customers, including menu innovation and kitchen upgrades. She said marketing will lean into nostalgia and fans’ love for Uncle Herschel, the character pictured on the brand’s logo.

FILE – The Cracker Barrel Old Country Store logo in Pearl, Miss., is photographed, Sept. 12, 2023. (AP Photo/Rogelio V. Solis, File)

The company is also continuing to grow its loyalty program. Masino said the 2-year-old program now has 9 million members and gained 300,000 new members in just the last four weeks. Masino said one new loyalty perk will be the ability to give the company feedback after every restaurant visit.

“We’re moving ahead with a strong plan to regain traffic and the momentum we had a month ago,” Masino said. “There is a lot to be optimistic about.”

The Lebanon, Tennessee-based company said it expects total revenue of $3.35 billion to $3.45 billion in its 2026 fiscal year, which began Aug. 2. That is lower than the $3.48 billion Cracker Barrel reported in its 2025 fiscal year.

It expects a $25 million hit due to U.S. tariffs on imported goods in the 2026 fiscal year. The company said it’s adjusting some of the products sold in its stores to mitigate that.

Avian influenza detected again in Minnesota commercial turkey flock

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A case of highly pathogenic avian flu in Minnesota was confirmed Tuesday at a Redwood County commercial turkey farm. It’s the first confirmed case in the state since April.

The case was not unexpected as the fall migration of wild birds has begun, but it comes just weeks after Minnesota was declared free of avian influenza at the end of August. This detection resets Minnesota’s response teams and will draw responders back into the fight against the costly avian influenza this fall, according to a Minnesota Board of Animal Health news release.

The Redwood County flock, around 20,000 turkeys, showed signs of increased mortality. Samples taken Sunday and submitted to the Minnesota Poultry Testing Laboratory on Monday tested PCR positive for influenza A and the H5 strain.

Molecular testing is a diagnostic tool that looks for the presence of the virus in the bird. Positive influenza results indicate the bird is infected and shedding virus. The USDA National Veterinary Services Laboratories in Ames, Iowa, confirmed the results and will run further tests on the sample to classify the virus type, according to the news release.

“Though we remain hopeful that we can eliminate HPAI in Minnesota’s poultry stock, this case was not wholly unexpected as we move into the migration season for wild waterfowl,” Dr. Shauna Voss, assistant director of the Minnesota Board of Animal Health, said in the news release. “Vigilance and robust biosecurity remain the best methods for flock owners to protect poultry from avian influenza.”

The board calls on poultry producers to review their biosecurity plans to maintain flock health.

Avian influenza has also been recently confirmed in commercial turkey flocks in North and South Dakota and a backyard chicken flock in North Dakota.

ABC suspends Jimmy Kimmel’s late-night show indefinitely over his remarks about Charlie Kirk’s death

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NEW YORK (AP) — ABC has suspended Jimmy Kimmel’s late-night show indefinitely following comments he made about Charlie Kirk’s killing.

The network’s decision came Nexstar announced its ABC affiliates would pre-empt “Jimmy Kimmel Live!” indefinitely over his comments.

“Mr. Kimmel’s comments about the death of Mr. Kirk are offensive and insensitive at a critical time in our national political discourse, and we do not believe they reflect the spectrum of opinions, views, or values of the local communities in which we are located,” said Andrew Alford, President of Nexstar’s broadcasting division.

This is a breaking news story. More information will be added as it comes in.