Judge puts Stormy Daniels' lawsuit against Trump lawyer on hold

Proceedings delayed by 90 days as Michael Cohen indicates he will plead the fifth

Adult film actress Stormy Daniels exits the United States District Court Southern District of New York for a hearing related to Michael Cohen (Drew Angerer/Getty Images)

A judge has agreed to delay proceedings in Stormy Daniels’ lawsuit against President Donald Trump and his lawyer, Michael Cohen, saying it was “likely” that the latter would soon be indicted in a criminal investigation.

Ms Daniels, real name Stephanie Clifford, has sued Mr Trump and Mr Cohen in an attempt to invalidate a non-disclosure agreement she signed shortly before the election. She says the agreement was meant to silence her claims of an affair with the president.

US District Court Judge James Otero said on Friday that he would put the case on hold for 90 days, in light of an FBI raid of Mr Cohen’s office and apartment earlier this month. The FBI, tipped off by special counsel Robert Mueller, was said to be looking for evidence of payments to Ms Daniels and other women.

Mr Cohen said on Wednesday that he intended to plead the fifth in the civil proceedings, due to the ongoing criminal investigation. He also requested a three-month stay in the case.

“Given the context and significance of the criminal proceedings, the Court agrees with Defendants that a temporary stay is warranted,” Mr Otero responded in a court filing on Friday.

He added that, as the alleged “mastermind” of the agreement, Mr Cohen’s testimony would be “indispensable to the disposition of this action”.

Ms Daniels’ lawyer, Michael Avenatti, said on Twitter that he planned to appeal the ruling.

“While we certainly respect Judge Otero’s 90 day stay order based on Mr Cohen’s pleading of the 5th, we do not agree with it,” he wrote. “We will likely be filing an immediate appeal to the Ninth Circuit early next week. Justice delayed is justice denied.”

The ruling is the latest twist in a legal saga that has transfixed the country, pitting Ms Daniels and her media-savvy lawyer against Mr Trump and his legal “fixer” of more than a decade.

Ms Daniels claims she engaged in an affair with Mr Trump in 2006, just months after the birth of his son Barron. She says a stranger later threatened her to stay quiet about the affair, and Mr Cohen ultimately paid her $130,000 in “hush money”.

Mr Cohen has acknowledged making the payment, but contested the “hush money” characterisation. Mr Trump, who has previously denied any knowledge of the payment, said earlier this week that Mr Cohen had represented him in the matter.

"He represents me like with this crazy Stormy Daniels deal, he represented me,” the president said in a phone interview on Fox and Friends. “And from what I see, he did absolutely nothing wrong."

Mr Trump has denied having an affair with Ms Daniels.