Trey Falwell – Jerry Falwell Jr.’s son, Trey “Trey” Falwell III, is suing Liberty University in Lynchburg, Virginia, claiming the school violated a 15-year employment contract after he was fired in April 2021. Liberty denies the allegations and says the case is without merit
When Liberty University fired Trey “Trey” Falwell III in April 2021, the younger Falwell says it wasn’t just an end to a job. It was the moment his contract—crafted for years and set to run until June 2030—became something else entirely.
The lawsuit he filed last month in Lynchburg, Virginia, argues that Liberty’s leaders violated his 15-year employment contract after terminating his position without cause. Liberty denies the claim and says it will vigorously defend the case.
Falwell, the son of Becki and Jerry Falwell Jr., served as a former vice president at the Christian university. In the complaint. he points to a personal services contract he signed in January 2016—along with his father—laying out what he would receive. and under what conditions his employment could be terminated without the contract’s protections.
According to the court filing in the Circuit Court for the city of Lynchburg in April. the contract guaranteed Trey Falwell a salary of $88. 000. with annual 5% raises. a $600 monthly car allowance. free tuition. and other benefits. The contract was set to expire in June 2030. Falwell’s complaint says his salary was raised to $220,000 in 2017.
The dispute hinges on what happens when someone is fired. In the suit, Falwell alleges the contract would become void only if he were fired for cause. Otherwise, he argues, Liberty was required to keep paying him through 2030 even if he was fired.
Falwell’s lawyers contend that the school made no meaningful details available about why he was terminated in April 2021—about 10 months after his father resigned. The complaint says that on the day of termination. he was “contractually entitled to continued payments of his then-current salary and other amounts. totaling $1. 750. 000.”.
Liberty University. for its part. denies the allegations about Trey Falwell’s termination without cause and denies that he is entitled to compensation. In a statement on May 28. a spokesman for Liberty said. “Liberty University disputes the allegations about Trey Falwell’s termination without cause and that he is entitled to compensation. The lawsuit is without merit. and the University will vigorously defend this case.” The spokesman added that Liberty will state its position in court filings.
Falwell’s attorneys did not respond to a request for comment regarding the five-year delay in filing a claim for wages.
The contract fight lands in a family story that Liberty can’t seem to outlast. Trey Falwell is not the only member of the Falwell family to sue the university after Jerry Falwell Jr. left. After his resignation, Jerry Falwell Jr. sued Liberty and later his brother. Jonathan—Liberty’s chancellor—seeking to reclaim millions in retirement benefits and alleging school leaders mishandled funds. Another lawsuit claimed defamation. In response, the school countersued, asking for $10 million for breach of contract.
Those suits were settled in 2024.
The family’s relationship with Liberty began far earlier than any contract. Liberty was founded by televangelist and political activist Jerry Falwell Sr. in 1971 and has grown into one of the largest Christian schools in the country. Jerry Falwell Jr. resigned in 2020 after years of scandal, including his support for Donald Trump and allegations that Jerry Falwell Jr. had watched his wife have sex with a business associate.
Even with the scandals and his departure, Liberty’s leadership has remained in the family. Jonathan Falwell, who also pastors Thomas Road Baptist Church in Lynchburg—where his father once presided—remains the chancellor.
For all the litigation, Liberty has continued to project financial strength. During the fiscal year that ended in June 2020—two months before Jerry Falwell Jr. resigned—the university reported $1.3 billion in revenue. a budget surplus of $249 million. and $2.9 billion in net assets. according to its Form 990 financial disclosure to the Internal Revenue Service. In the fiscal year ending in June 2024. the latest filing available. Liberty reported $1.8 billion in revenue. a $345 billion surplus. and $4.3 billion in assets.
Liberty has 2 Stars for financial efficiency and a D Transparency Grade in the MinistryWatch database, and a Donor Confidence Score of 54, an “Exercise Caution” designation.
The contrast between stability on paper and turmoil in court is now playing out in Lynchburg. At issue is whether a contract written in January 2016—expiring in June 2030—still guarantees a far larger payout after a termination that the university insists was handled properly. For Trey Falwell, the case is not about the past era at Liberty. It’s about a promise that, he says, Liberty broke when his employment ended in April 2021.
Trey Falwell III Liberty University Jerry Falwell Jr. employment contract Lynchburg Virginia lawsuit personal services contract April 2021 termination court filing