Problem: James Halliman, a spokesperson for New Mexico Gov. Michelle Lujan Grisham's 2018 gubernatorial campaign, accused the governor of pouring water on his crotch and grabbing it through his clothes in front of other staffers during a campaign meeting in 2018. Jared Leopold, a spokesperson for Michelle Lujan Grisham's campaign, stated the campaign reached an agreement with Hallinan "settling numerous dubious and disputed potential claims made by Mr. Hallinan arising from his employment in 2018 with the campaign organization and his subsequent search for employment. The settlement agreement fully resolves the disputed potential claims." Leopold added that the governor and her campaign "strenuously deny that there is any merit or truth to Mr. Hallinan's claims." He said the settlement was reached "to avoid the continuing distraction and significant expense of possible litigation and allow them to concentrate on working for the people of New Mexico during this pandemic." Which of the following statements is correct?