By Annie Reuter
50 Cent has reached a settlement in his legal malpractice suit against his former legal team and will be awarded $14.5 million. But the rapper likely won’t see much of that money since he continues to battle bankruptcy and other debts.
Forbes reports that much of 50 Cent’s settlement will go towards satisfying his $23 million bankruptcy settlement from July. In 2014, he was ordered to pay headphone makers Sleek Audio $16 million after he cut ties with the company, only to produce his own headphones. The judge alleges that 50 used the company’s trade secrets to launch his SMS audio company, which included a similar headphone design.
50 then filed a malpractice suit against Garvey Schubert Barer (GSB), the law firm who represented him against Sleek Audio, claiming the firm “didn’t adequately represent his interests in licensing negotiations and arbitration disputes with Sleek Audio.” That’s the suit he just settled or $14.5 million.
“Among GSB’s numerous failures was its inexplicable decision not to call technical and damages experts to rebut expert testimony offered by Sleek — failures relied upon by the arbitrator in crediting Sleek’s experts and entering an eight-figure award in Sleek’s favor,” 50 Cent’s new legal representation claim in their suit against GSB.
While GSB has settled, 50 Cent still owes $7 million from a lawsuit over a sex tape he reportedly leaked. In other words the rapper’s financial struggles continue.