Chicago rapper Chance the Rapper is currently embroiled in a high-stakes legal battle with his former manager, Patrick Corcoran, also known as Pat the Manager. The civil trial, underway in Cook County, Illinois, centers around a disputed contract and allegations of unpaid commissions, with Corcoran seeking $3.8 million in damages.
The core of the dispute revolves around the terms of their working relationship from 2012 to 2020. Corcoran alleges a handshake agreement entitling him to 15% of Chance’s net proceeds across all income streams, including a “sunset clause” that would continue payments for three years after his termination. Chance the Rapper, whose birth name is Chancelor Jonathan Bennett, disputes the existence of such an agreement, claiming their arrangement was “at-will” and did not include a sunset provision.
Chance Denies Knowledge of Sunset Clause
Testifying on Tuesday, March 10th, Chance stated he was unaware of the alleged sunset clause until Corcoran initiated legal action. According to reporting from the Chicago Sun-Times, he testified, “We never described it as a contract until he sued me. We had an at-will agreement that didn’t address termination.” He further asserted that he consistently paid Corcoran his agreed-upon 15% of net proceeds throughout their partnership. “We moved that way forever. We never discussed the sunset clause, we just discussed how I’d pay him,” Chance reportedly said. “And one thing that stayed consistent is that I paid him his 15%. I kept paying him that 15%.” He added, “I can’t think of one situation where he did meaningful work and I didn’t pay him.”
Millions Paid During Working Relationship
Chance testified that he paid Corcoran a total of $11 million during their eight-year working relationship. He also stated that Corcoran was the highest-paid employee of Chance the Rapper LLC. This testimony directly challenges Corcoran’s claim that he is owed substantial unpaid commissions.
Corcoran’s Claims and Countersuit
In his 2020 lawsuit, Corcoran alleges he was terminated in 2019 due to “fan disappointment” with Chance’s album, The Huge Day, and subsequent low ticket sales for the accompanying tour. He claims he was replaced by Chance’s father, Ken Bennett, and brother, Taylor Bennett. Corcoran is seeking $3.8 million in unpaid commissions, along with exemplary damages for breach of contract and violations of the Illinois Sales Representative Act.
Chance responded in 2021 with a countersuit, seeking over $1 million in damages. He alleges that Corcoran failed to fulfill his managerial duties, acted disloyally, and prioritized his own interests, ultimately harming Chance’s career. This countersuit has not yet proceeded to trial.
The trial is expected to last approximately two weeks, and will determine the validity of the alleged handshake agreement and the extent of any financial obligations between the two parties. The outcome of this case could set a precedent for similar disputes within the music industry regarding the enforceability of verbal agreements and the rights of managers, and artists.
As the trial progresses, further details regarding the specifics of their working relationship and the financial arrangements are expected to emerge. The case highlights the importance of clearly defined contracts and documentation in the entertainment industry to avoid costly and public legal battles.
What’s Next: The trial is ongoing, and the court will require to determine whether a legally binding agreement existed between Chance the Rapper and Pat the Manager. The judge’s decision will likely hinge on the credibility of the witnesses and the evidence presented. Readers are encouraged to share their thoughts on this developing story in the comments below.
