Michael Jackson has settled a $12 million lawsuit filed against him by a former business manager, the pop star’s attorney Zia F. Modabber claimed Wednesday. Settlement terms weren’t disclosed.
A Los Angeles judge was to have ruled Wednesday on whether to proceed with the case, which was set to go forward on June 18, or dismiss it.
The business manager, Myung-Ho Lee, claimed he was hired to evaluate Jackson’s finances, but that Jackson refused to pay him. Lee also claimed that Jackson was teetering on the edge of bankruptcy, thanks to flagging earnings and profligate spending habits.
Jackson’s finances have been the subject of much speculation in the music industry of late – particularly his half-interest in the Sony/ATV music publishing catalog, which includes the famed Beatles songbook and the Acuff-Rose library.
High-placed sources inside the music biz say that Sony Music has a lien on Jackson’s stake against debts accrued with the major-label group over the past few years, but Sony itself has repeatedly denied that it has cut any such deal.