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Judge rejects $19 million Weinstein settlement as unfair to victims

Harvey Weinstein - JUSTIN LANE/EPA-EFE/Shutterstock
Harvey Weinstein - JUSTIN LANE/EPA-EFE/Shutterstock

A US judge on Tuesday rejected a proposed $19 million (£15m) civil settlement for women who have accused film director Harvey Weinstein of sexual harassment, which lawyers had decried as a “complete sellout”.

The tentative deal, originally announced late last month, would have permitted dozens of accusers to claim between $7,500 and $750,000 from Weinstein, his brother Robert, and their defunct film studio.

But lawyers representing six of the accusers, criticised the proposal as they said it did not require Weinstein to accept responsibility or personally pay out any money.

They filed an opposition on Monday, calling the deal "the most one-sided and unfair settlement we have ever seen proposed to a court.”

On Tuesday, US District Judge Alvin Hellerstein in Manhattan said the preliminary settlement would be unfair to women who Weinstein raped or sexually abused because it treated them no differently from others.

“Not every woman was captured in the same way,” Mr Hellerstein said. “Some gave up their bodies because of blandishments… some by force, and some may have done it willingly. And yet your settlement creates an equality.”

He also criticised a plan to set aside money to help Weinstein and the board of his former studio pay defence costs.

"The idea that Harvey Weinstein could get a defense fund ahead of the plaintiffs is obnoxious," Judge Hellerstein said.

The settlement would have used insurance company funds to pay off the remaining claims in the Weinstein Co. bankruptcy. Under the proposal, $18.9 million would have gone to class action claimants and their attorneys. Another $5.4 million would have been set aside for plaintiffs.

The women had sued Weinstein, 68, who is serving a 23-year sentence for rape and sexual assault against two women, in a class action civil suit.

According to the 2018 lawsuit, the media mogul “created a hostile work environment by repeatedly and persistently sexually harassing female employees, including frequently remarking on female employees’ physical appearance, berating female employees, and requiring female employees to perform work while he was naked or only partially dressed.”

Weinstein was also accused of forcing many of the women to engage in unwanted sexual conduct under the guise of career advancement.

The office of Letitia James, New York Attorney General, said in a statement that it will "review the decision and determine next steps."