Paris Jackson 'concerned' about Michael Jackson estate payments

Yahoo

6 hours ago

Michael Jackson's daughter Paris Jackson is "concerned" about payments being made by her father's estate.
The 27-year-old singer has objected to a request for court approval of the estate executors' "premium payments" to three law firms in her position as a beneficiary of the Thriller hitmaker's estate.
In documents filed on 24 June and obtained by People magazine, Paris is expressed her concern over an alleged "practice of granting so-called 'premium payments' for unrecorded attorney time, much less paying one-hundred percent of any such extraordinary amounts."
The paperwork named a six-month period in 2018 when executors requested approval for $625,000 in payments for "uncaptured time" without explaining
"as to why counsel was incapable of recording unbilled time, or why such a failure should not preclude payment."
Two of the firms had received their prospective payments, in breach of the "Court's order allowing only partial payment of attorneys' fees until Court approval is obtained."
The documents added: "Even worse, these payments appear, at least in part, to consist of lavish gratuities bestowed upon already well-compensated counsel.
"[The payments] raise serious and substantial questions about Executors' ability to effectively supervise counsel, by, at minimum, requiring that counsel record their time in a manner susceptible to at least superficial review and oversight, namely by means of task-billed time entries, and refraining from wasteful, six-figure gift-giving to themselves and their colleagues."
Paris is also said to be "concerned" about the executors' alleged "gross lack of diligence in seeking the required Court approval for extraordinary fees and costs" for the 2018 payments and lack of explanation about the delays.
Paris' attorney, Craig Peters, claimed there was "no written agreement" authorising executors to seek approval for fees in six-month increments and requested a "schedule for all of the outstanding approvals, both the accountings and the legal fees."
Lawyers for the estate insisted nothing untoward had happened.
Jonathan Steinsapir told People: "The Executors' approval of payments to attorneys have been made with the same business judgment that has earned this Estate over $3 billion.
"We are confident that the objected-to payments are appropriate as, indeed, they are fully consistent with payments made in the decade prior, all of which have been approved by the Probate Court."
Insiders explained the "premium payments" are connected to the sale of Michael's stake in EMI to Sony.
A source said: "They are objecting to relatively minor bonuses to three firms for work on the EMI catalogue sale in 2018.
"The estate, assisted by these lawyers and others, bought a 10% stake in EMI for $50,000 in 2012 due to a contractual right we had with Sony.
"In 2018, the stake sold for almost $300 million! Any business in this position would reward those who worked on that matter through the years.
"They also claim that the estate had to withhold 30 percent of all fees pending court approval. On that, they are simply mistaken and do not understand the court's orders. The estate has paid bonuses like this to attorneys for years and they've all been approved without any objections."
At the time of his death in 2009, Michael - whose sons Prince and Bigi are also beneficiaries of his estate - was over $500 million in debt to more than 65 creditors.
A hearing regarding the matter is scheduled for July 16.