Liberty to pay Jerry Falwell Jr. $15M settlement following high-profile sex scandal
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Jerry Falwell Jr. resigns as head of Liberty University amid reports
Jerry Falwell Jr., president of Liberty University, has resigned from the school amid reports of his wife's sexual relationship with a business partner.
USA TODAY
Liberty University will pay its former president, Jerry Falwell Jr., about $15 million to settle litigation following his 2020 resignation after a high-profile sex scandal that drew national attention to the private Christian institution.
While the settlement was announced in 2024, neither Falwell nor Liberty shared details about what it included − or how much Falwell would get paid.
But buried deep in a recently filed 2023-2024 tax form, the university revealed it's paying Falwell a multi-million figure to 'settle certain claims and close certain transactions.' As part of the agreement, Falwell agreed to pay the university $440,000 to settle "disputed expenses" between he and the university. Details about those claims were not included.
In total, Falwell will receive roughly $5.5 million to settle the lawsuits in addition to roughly $9.7 million he already received as part of his retirement package, according to the tax documents.
Liberty University declined to comment. University spokesperson Ryan Helfenbein instead directed a reporter to a 2024 news release about the agreement in which both parties said that statements beyond the settlement were not "necessary nor constructive." "Both the University's Board of Trustees and Jerry Falwell, Jr. sincerely regret the lengthy and painful litigation process, and each take responsibility for their part in the disputes," the release at the time stated. "Falwell acknowledges and apologizes for the errors in judgement and mistakes made during his time of leadership. The Board of Trustees acknowledge and apologize for the errors and mistakes made on their part as well."
Falwell also declined to comment on specifics about the agreement, but said he was "very pleased with the outcome of the settlement negotiations and with the final settlement."
The settlement could mark the end of an embarrassing chapter for Liberty, one of the largest Christian universities in the country. The school prides itself on promoting fundamental Biblical values. For instance, it prohibits its students from having sex outside of marriage or drinking alcohol (though that rule doesn't apply to online students not on campus), per its honor code, The Liberty Way.
Falwell took over the university in 2007 following the death of his father and founder of the university, the Rev. Jerry Falwell Sr. The younger Falwell helped grow student enrollment, much of it through online classes, while making it a mainstay among top Republicans. And he was one of the first evangelical leaders to endorse President Donald Trump during the 2016 presidential campaign.
But in August 2020, Falwell made headlines when he posted a photo of himself with his arm around his wife's assistant. He held a drink in his hand, and both of their pants were unbuttoned. He went on leave shortly after.
He resigned just weeks later following news of a sex scandal involving him, his wife, Becki Falwell, and another man, . Giancarlo Granda. He said Falwell was a participant in the multi-year relationship. Falwell has described it as his wife having an affair. Falwell told The Wall Street Journal of his departure at the time that he wanted what was best for the university.
Shortly after he left, Liberty launched an investigation into his conduct at the university. But Falwell then sued the university for defamation but dropped it months later. Liberty then sued Falwell in 2021, arguing he had breached his contract. Falwell then filed two separate claims in 2023 − one over his retirement package and the other against the university over its use of his father's image. As part of the ongoing dispute, Falwell and his wife were eventually barred from entering the campus.
But by July 2024, Falwell and the university announced they would drop their claims. He was allowed back on campus and attended the university's homecoming game. And though Jerry Falwell Jr. is no longer working for the university, his brother Jonathan Falwell serves as chancellor and is the head of the massive Thomas Road Baptist Church, which was also started by the senior Falwell.
In the meantime, the federal government, under the Biden administration, penalized the university $16 million in 2024 for creating a culture on its campus where students were afraid to report sexual violence. The penalty included a $14 million fine and required the university to spend $2 million 'for on-campus safety improvements and compliance enhancements.' The government also placed Liberty on federal monitoring through April 2026. The university said at the time and recently to the Department of Justice that it felt unfairly targeted by the Biden administration.
Contributing: Steve Berkowitz
Chris Quintana is an investigative reporter at USA TODAY. He can be reached at cquintana@usatoday.com or via Signal at 202-308-9021. He is on X at @CQuintanaDC.
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