MC Hammer Faces Financial Trouble After Lawsuit

Newsweek

2 days ago

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources.
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MC Hammer is facing financial trouble after being sued for allegedly failing to make payments on his 2023 Land Rover Defender.
JPMorgan Chase Bank filed a lawsuit against the American rapper - who had hits with "U Can't Touch This" and "2 Legit 2 Quit" - seeking both the return of the vehicle and $76,732.79 in unpaid loan balance.
The legal document accuses the hitmaker, who was born Stanley Kirk Burrell, of failing to make regular monthly payments of $2,433.97.
The singer and bank are yet to comment on the allegations. Newsweek has reached out to a representatives for both for comment by email outside regular working hours.
The Context
Hammer, 63, who rose to prominence in the late 1980s, has faced financial problems in the past. His spending habits drew considerable attention in the 1990s, Forbes Magazine estimated Hammer's net worth at more than $33 million in 1991. But, just five years later he was reportedly in debt to the tune of $13 million. Following a series of legal issues he was forced to sell his lavish Fremont Hills mansion and move his family into a three-bedroom home in Tracy.
In the following years he was involved in a copyright dispute over "U Can't Touch This," which was resolved with royalties to Rick James. Following a 2013 police stop Hammer claimed racial profiling, and no charges were filed.
Since then, the rapper has largely kept a lower public profile, focusing on ministry work, sporadic performances, and business ventures. In 2019, he completed a North American tour—his first major tour in nearly three decades.
Rapper MC Hammer performs onstage during Hammer's House Party at Five Point Amphitheater on July 13, 2019 in Irvine, California.
Rapper MC Hammer performs onstage during Hammer's House Party at Five Point Amphitheater on July 13, 2019 in Irvine, California.What To Know
JPMorgan Chase Bank, N.A., filed a lawsuit on July 31, 2025, against the rapper and U Cant Touch This LLC—an entity listed in the documents as also responsible for the debt.
The bank alleges Hammer entered into a financing agreement on March 18, 2023, for the purchase of the Land Rover. Under the terms of the contract, Hammer and the LLC agreed to pay $2,433.97 per month beginning May 2, 2023, for sixty (60) months continuously until paid in full on the total loan amount of $114,376.90.
Court documents state that regular payments ceased in May 2024.
According to the complaint, only three payments were made after that—one of $2,500.00 on June 6, 2025, followed by another $2,500.00 on June 13, 2025, and one final payment of $2,500.00 on July 14, 2025—leaving a remaining balance of $76,732.79.
The bank claims the vehicle, which is still in Hammer's possession, has not been returned despite repeated demands for its surrender.
The complaint includes two causes of action: possession of personal property and breach of contract.
What People Are Saying
In an interview originally given to Oprah Winfrey in 2011, MC Hammer reflected on his financial collapse, framing the experience philosophically: "I didn't just take the money and say, 'I want to be a blessing to myself.' I took my money and employed 200 people in my community. I had a payroll of a million dollars a month at times.
"Some people ask me sometimes, would I go back and change things?" Hammer said, "They are flabbergasted by my answer. My real, true answer is I wouldn't change one thing. I really believe in the butterfly effect. Meaning that if I change one thing, everything else changes. I lose the kids I have now. I lose the relationships I have now. I lose the peace I have now. So I'm very happy with my decision."
What Happens Next
The case is currently pending before the San Joaquin County Superior Court. The immediate next steps are procedural—serving the complaint and awaiting Hammer's formal response.
From there, the case could either settle quietly or proceed through months of litigation. If unresolved, it may eventually go to trial in San Joaquin County Superior Court.