Liberty University will pay former president Jerry Falwell Jr. approximately $15 million in a legal and retirement settlement following his dramatic resignation in 2020 amid a public scandal.

According to the Christian Post, the multimillion-dollar agreement, which resolves ongoing lawsuits between the two sides, stems from Falwell’s controversial exit during a sex scandal involving his wife and another man.

According to recently disclosed financial documents obtained by USA Today, the payment includes roughly $9.7 million tied to Falwell’s contested retirement benefits and another $5.5 million dedicated to settling legal disputes.

The arrangement also includes a $440,000 reimbursement that Falwell agreed to pay Liberty to resolve disagreements over expenses. While finalized in July 2024, details of the settlement remained confidential until this week’s report.

In a statement to USA Today, Falwell said he was “very pleased with the outcome” of the negotiations and the final settlement amount. His departure stems from a series of events that ultimately became one of the most high-profile leadership scandals in modern higher education.

Scandal Erupted Amid Claims Involving Personal Life

Falwell’s resignation in August 2020 followed an affair involving his wife, Becki Falwell, and 29-year-old Giancarlo Granda. Granda came forward with claims that he engaged in a sexual relationship with Mrs. Falwell that lasted for years, beginning when Granda was in his early twenties.

Granda alleged that Jerry Falwell Jr. was aware of the relationship and even participated by watching their encounters. He told Reuters that Falwell “enjoyed watching from the corner of the room.”

Falwell initially denied those claims, though he did acknowledge his wife’s involvement with Granda. He insisted publicly that he had no participation in the affair and described himself as heartbroken over the revelations.

Legal Battles Followed After Sudden Departure

Liberty University's Board of Trustees accepted Falwell’s resignation immediately upon the emergence of the scandal in 2020. At the time, he stepped down from his roles as president, chancellor, and board member.

In the months that followed, Falwell filed a defamation lawsuit against the university’s leadership, accusing them of acting on false claims and pressuring him unfairly into resignation. Liberty responded with its legal action, increasing tensions between the former leader and the institution.

As the litigation continued, both sides entered into negotiations that eventually led to the July 2024 settlement, which resolved "all outstanding disputes on both legal and personal matters," according to a joint statement from the university and Falwell.

Falwell’s Rise and Role in Evangelical Politics

Falwell is the son of Liberty University founder, the Rev. Jerry Falwell. He assumed leadership in 2007 after the elder Falwell's death, becoming president and chancellor of the Christian university based in Lynchburg, Virginia.

Under Falwell Jr.’s tenure, the university expanded and gained national prominence. His influence extended into politics, becoming an early evangelical supporter of Donald Trump's 2016 presidential campaign.

Falwell used his role to help align conservative Christian values with national GOP politics, creating a powerful connection between evangelical education and U.S. political discourse.

Settlement Also Addresses Use of Father’s Legacy

Aside from financial aspects, the agreement also allows Liberty to continue using the name, image, and likeness of Rev. Jerry Falwell Sr. The university indicated this aspect of the deal was particularly important to its long-term mission.

In their joint statement, both parties said the agreement was “grounded in a firm commitment to protecting and preserving Liberty’s original mission” to develop “Christ-centered men and women.”

They added that the settlement amount was based on disputes surrounding Falwell’s retirement and severance terms, which had become a significant point of contention after his resignation.

Final Numbers Mark the End of Years of Disputes

The legal resolution included $9.7 million earmarked for retirement and severance and $5.5 million to resolve the ongoing lawsuits. The financial figures were disclosed through Liberty’s tax filings and confirmed in USA Today’s reporting.

With all litigation now closed, both sides appear ready to move forward. There have been no public indications of further legal activity involving Falwell or Liberty.

The university has not announced how it will proceed regarding leadership or institutional changes resulting from the scandal, but has made clear it intends to uphold its founding mission in the aftermath.