Paris Jackson earns huge $625,000 win in legal battle over Michael Jackson's estate
Paris Jackson secured a $625,000 victory in a legal battle over the estate of her father, Michael Jackson.
The King of Pop left behind an enormous estate, but one which was also plagued by millions of dollars of debt.
Since then, the estate has been under the management of executors John Branca and John McClain, and has risen dramatically in value since Jackson's June 2009 death at the age of 50.
However, a court has now ruled on a complaint raised by Paris Jackson about bonus payments worth some $625,000 which were made to third party law firms.
Advert
According to court documents, a judge ruled that this $625,000 should be returned to Jackson's estate.
The documents, which were seen on May 13, nonetheless acknowledged the work that the executors have done in successfully managing and increasing the value of the estate in the years since Jackson's death.
Part of the ruling also included an order that no unauthorized bonus payments be made to the attorneys of Jackson's executors.
The documents, which were obtained by US Weekly, read: “The Executors shall not make any bonus payments to an attorney as a payment on account without the written consent of all beneficiaries or an order of the referee/court.”
Nonetheless, it gave a provision that the executors can request permission for this, adding: “The Executors are authorized to file a petition for instructions if circumstances arise where they believe deviation from this order is warranted.”
The ruling ordered that the payments be 'returned to the estate'.
“Ms. Jackson’s objection to the $625,000 of bonus payments made in the second six months of 2018 is sustained," it read.
"The bonus payments are not approved; they are disallowed. The payments shall be returned to the estate.”
Since Jackson's death his estate has increased significantly in value, moving away from being mired in debt to being worth a huge sum.
And the court acknowledged this work, with the documents saying: “As a preliminary matter, there can be no dispute that under the expertise of the Executors, this estate has transformed from teetering on the brink of bankruptcy in June of 2009 when Michael Jackson died to the financial powerhouse that it is today."
They added: "For the last 17 years, the Executors and their attorneys have provided exceptional services to the estate and, ultimately, to the beneficiaries.
"The Executors have — in the words of John Branca — created real and substantial generational wealth for the estate’s beneficiaries.”
In a statement to TMZ, a representative of the executors said: “We are gratified that the court itself recognized and praised the work of the Executors and its outside counsel."
However, it said that they 'disagree with some of the judge’s decisions.'
The statement added: “While the Court has previously approved several other bonuses to outside counsel over the years for their extraordinary services, and this was the first time they were the subject of objections, the Executors have always understood that legal fees are subject to court approval and have always required outside counsel to agree to return any funds to the estate if the payments were not approved.
"Ultimately, while we disagree with the decision, we fully respect it and plan to move forward accordingly.”
Kit Roberts