Jackson’s financial legacy (bank, interview, CA, debt)

[colleeng47]

Originally Posted by Houston3

He bought them...I don't remember the details tho...

I thought all the Beatles were pretty weathy, why were they sold?

[DontH8Me]

Originally Posted by colleeng47

I thought all the Beatles were pretty weathy, why were they sold?

The Beatles signed away the rights to their own intellectual property when they struck a deal with their first record company. They (the Beatles) created Apple Records in 1968. Google Parlophone/EMI for more info.

The members of the Beatles never owned the rights to their earliest work. When it went on the auction block, McCartney was bidding on his own work, but Jackson was the higher bidder so he owns the rights to those songs.

[bmd69]

Originally Posted by Stac2007

Jackson leaves behind $500 million dollars in debts, How could this happen? Why would any financial institution continue to loan him money?

Bank of America for $270 million

[akck]

Originally Posted by 8 SNAKE

That will be very interesting to see play out. Didn't Jackson leave the rights to those songs to Paul McCarntey in his will? I doubt Paul will sit back and watch them slip away to BoA without a fight. It's going to be a messy, messy process to settle Jackson's estate.

I think he put them up as collateral for the loan. If the loan defaults, the bank will own the rights. The right would have to be in his estate for the will to pass them on. It just like you can will someone a $1 million, but if your estate only has $10 in it, that's all the person will get.

[jjbradleynyc]

Well, this concert in London was supposed to gross (once all done) around $450 million. I heard this on one of the morning shows today. So, figure he could pay back around 250-300 million alone potentially just from this concert series. Maybe sell the share of the Beatles catalogue he owns for another $100 million, put out 2-3 more albums in the future, and make another $50-75 million....banks continued to loan him that much $$$ because of his leverage of ownership in the Beatles catalogue, his potential concert tour grosses, future album sales, and the fact that he could've had more endorsement deals in the future too.

Now, the lenders are left grasping whatever they can from his "estate." It will be interesting to see how it turns out.

[Traderx]

Actually Jackson was only 1/2 owner of the beatles songs with Sony owning the other half. And McCartney still gets the royalties or at least 50% anyway, which is all he and the others ever got. As I remember, Jackson bought the company that owned the songs, along with 100's(maybe 1000s) of other songs. Then he sold half the company to Sony to raise money.

[goodbyehollywood]

That's true; he did sell half to Sony. So maybe Sony will buy the rest or Paul McCartney will get another chance. I doubt a bequest will hold up. The estate will have to sell the most valuable assets to settle debts.

Wonder if the unreleased tracks are any good? I guess it doesn't really matter; they'll be worth a fortune, anyway.

[8 SNAKE]

Originally Posted by akck

I think he put them up as collateral for the loan. If the loan defaults, the bank will own the rights. The right would have to be in his estate for the will to pass them on. It just like you can will someone a $1 million, but if your estate only has $10 in it, that's all the person will get.

Yes, I realize all of this. However, it's not going to be that cut-and-dry when this actually plays out in court.

[graceC]

Originally Posted by 8 SNAKE

That will be very interesting to see play out. Didn't Jackson leave the rights to those songs to Paul McCarntey in his will? I doubt Paul will sit back and watch them slip away to BoA without a fight. It's going to be a messy, messy process to settle Jackson's estate.

That would be nice of Jackson to do so, but I doubt it. McCartney still has not forgiven MJ for snapping the Beatles catalogue from right under his nose. Afterall, it was supposedly McCartney who advise MJ on the value of owning song rights (or catalogues).

[Traderx]

Originally Posted by 8 SNAKE

Yes, I realize all of this. However, it's not going to be that cut-and-dry when this actually plays out in court.

Yes indeed. The vultures are aready circling I'm sure as there is a ton of money on the line here. I would also expect claims against the estate to be coming from every direction. Plus, doesn't he have a few kids? Their atttorneys are foaming from the mouth about now.