A federal appeals court has overturned the 14-year prison sentence of suspended attorney Michael Avenatti, known for representing adult film star Stormy Daniels in her legal battles against former President Donald Trump. Avenatti was previously convicted for defrauding clients in California.
On Wednesday, a three-judge panel from the Ninth U.S. Circuit Court of Appeals determined that Avenatti’s sentence was based on an incorrect assessment of the financial losses incurred by his clients. The court has sent the case back for resentencing.
In their ruling, the judges also considered whether Avenatti's new sentence should coincide with the prison time he is already serving for separate convictions, including stealing book proceeds from Daniels, who sued Trump to break a confidentiality agreement regarding their alleged affair. Avenatti was also convicted of attempting to extort Nike, the sportswear company.
Avenatti expressed optimism about the ruling through his attorney, Dean Steward, who stated, "Mr. Avenatti is encouraged by the ruling of the Ninth Circuit Court of Appeals today. He looks forward to the hearing ordered by the court."
The U.S. Attorney’s Office in Los Angeles, which handled Avenatti’s prosecution, declined to comment on the appeals court’s decision.
Avenatti, who has been suspended from practicing law in California, represented himself in court. In 2022, he pleaded guilty to multiple counts of wire fraud and a tax-related offense without reaching a plea agreement with prosecutors, expressing a desire to take responsibility and protect his family from further embarrassment.
Authorities indicated that Avenatti had negotiated and collected settlement payments on behalf of his clients, only to redirect those funds to his own accounts, funding a lavish lifestyle at their expense.
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