Curtis Jackson III — better known in the public eye and among his fans as 50 Cent — has been prominently in the news for the past several years, especially for his money woes that led him to pursue relief in a federal bankruptcy court.
That proceeding, which was commenced last year, might soon be in the rapper/businessman’s rear-view mirror, with recent developments related to 50 Cent’s legal malpractice claim against a law firm materially affecting his relationships with multiple creditors.
That firm — Garvey Schubert Barer (GSB) — long represented 50 Cent in various business negotiations and, importantly, in an arbitration proceeding that ended badly for the rapper.
Jackson filed his claim against GSB last year, alleging that the work done by firm lawyers on his behalf in a headphone deal with a manufacturer was flatly deficient and resulted in material harm. His complaint charged that the firm’s lack of due diligence in negotiating on his behalf and executing a reasonable deal yielded significant financial losses.
Moreover, the complaint alleged, the firm’s assurance that Jackson’s attempt to investigate deals with other companies would not infringe on the property rights of his manufacturing partner turned out to be an incorrect assumption. That firm sued Jackson and won in arbitration, obtaining a $16.2 million judgment that served as a primary catalyst in the rapper’s necessity to declare bankruptcy.
50 Cent’s lawsuit against GSB settled last month on terms that decidedly favored the rapper. Jackson scored a $14.5 million settlement, which a spokesman said should enable him to fully satisfy his creditors and successfully conclude his reorganization plan.
The firm did not acknowledge wrongdoing, issuing a post-settlement statement that merely noted the agreement and stated that it “enables both parties to move on.”