You are currently viewing Report: McMahon agrees to ‘million-dollar legal settlement’ with rape accuser

Report: McMahon agrees to ‘million-dollar legal settlement’ with rape accuser

Vince McMahon stepped down as Chairman and CEO of WWE last summer amid an investigation into the silent money scandal and allegations of sexual misconduct.

McMahon was still the controlling shareholder of the company after his resignation. Earlier this month, he used that influence to rename himself to the board of directors and return to power as CEO of WWE. He did so despite the obvious risks to the company and shareholders in light of the allegations against him, which also comes with increased scrutiny of WWE’s financial statements by the federal government.

One such ongoing storyline involves an accusation of rape from former WWE referee Rita Chatterton. She claims McMahon raped her in the back of a limousine in 1986.

According to a new report from Wall Street JournalMcMahon has agreed to a multi-million dollar legal settlement with her:

Vince McMahon, CEO of World Wrestling Entertainment Inc. agreed. , agreed to a multimillion-dollar legal settlement with a former wrestling referee who accused him of raping her in 1986, according to people familiar with the agreement.

McMahon denies the rape allegations. His attorney claims the settlement was made to avoid further legal expenses:

Ms. Chatterton, the first female referee in what was then the World Wrestling Federation, sought $11.75 million in damages for the alleged rape in a November letter to Mr. McMahon’s attorney that was reviewed by the Wall Street Journal.

Ms. Chatterton agreed to a much smaller sum of millions of dollars, a person familiar with the matter said, but the newspaper could not say an exact number.

“Mr. McMahon denies and has always denied raping Ms. Chatterton. He settled the case only to avoid the cost of litigation,” said Jerry McDevitt, attorney for Mr. McMahon.

A New York law recently opened a one-year window allowing victims of sex crimes to file lawsuits that would otherwise be barred by the statute of limitations. Ms. Chatterton’s lawyer claimed $11.75 million in damages in a legal demand letter sent to Mr. McMahon’s attorney in November, weeks before the window opened.

The settlement provides Ms. Chatterton with a lump sum upfront and annuities, similar to Mr. McMahon’s previous agreements with women, the person familiar with the deal said.

The Wall Street Journal reported last month that Vince was also in negotiations with an attorney for a former spa manager in California accusing McMahon of sexual misconduct in 2011. In today’s report, the WSJ noted that they “could not determine the status of negotiations with the spa manager.” Previous “. McMahon will likely need to find a resolution to this lawsuit before he can strike a deal to sell WWE.

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