Chance Wins Legal Battle Over Merchandise Profits as Drakeo’s Estate Settles Death Case

Chance the Rapper performs at Red Rocks Amphitheatre in Colorado on May 2, 2017. A Chicago judge ruled Tuesday that his former manager breached his fiduciary duties in connection with the rapper's merchandise business. (Photo by Julio Enriquez, CC BY 2.0; cropped for display)

A Chicago judge has ordered Chance the Rapper's former manager to surrender undisclosed merchandise commissions, while the estate of slain Los Angeles rapper Drakeo the Ruler has reached a settlement with festival organizers and security companies sued over his 2021 death.

A Chicago judge has ordered Chance the Rapper's former manager to surrender undisclosed merchandise commissions, while the estate of slain Los Angeles rapper Drakeo the Ruler has reached a settlement with festival organizers and security companies sued over his 2021 death.

The unrelated cases mark significant developments in two long-running hip-hop legal battles. Neither has produced a publicly established final payout: The amount Chance's former manager must forfeit remains under review, and the terms of Drakeo's estate settlement have not been disclosed.

Chance wins ruling over merchandise profits

Chance the Rapper has won another round in his nearly six-year legal fight with Patrick "Pat the Manager" Corcoran, the former friend who helped guide his rise from Chicago's independent rap scene to Grammy-winning success.

Cook County Circuit Judge James E. Hanlon Jr. ruled Tuesday that Corcoran breached his fiduciary duties by collecting undisclosed commissions from merchandise vendors while also receiving management fees tied to the same business.

Hanlon ordered Corcoran to surrender those commissions, forfeit the 15% management compensation associated with the affected merchandise transactions and transfer the ChanceRaps.com domain to the rapper by Oct. 28.

Chance's representatives estimate the forfeited management fees could total as much as $1.5 million, in addition to the vendor payments. The figure is not a final court award.

The parties have until Nov. 30 to agree on an amount. If they cannot, the judge will decide.

The ruling follows a March jury verdict that rejected Corcoran's demand for $3.8 million in unpaid commissions and royalties. The jury also found in Chance's favor on portions of his countersuit, awarding him $35.

The two worked together from 2012 until their relationship collapsed in 2020, building one of hip-hop's most prominent independent success stories without a traditional written management agreement.

Their dispute eventually turned on what Corcoran was owed after his dismissal and whether he had put his own business interests ahead of the artist's.

The latest ruling was not an across-the-board victory for Chance.

Hanlon rejected his attempts to recover compensation connected to several outside ventures, including the Ramova Theatre and UnitedMasters. The judge also declined to award punitive damages or strip Corcoran of all the compensation he earned during the relationship.

Corcoran's attorneys welcomed those limits, arguing that the court recognized the value of his work and rejected the rapper's broader financial demands.

Chance, whose legal name is Chancelor Bennett, said he was grateful to be nearing the end of the dispute and hoped to eventually share his account of what happened.

Drakeo's estate settles festival death lawsuit

In Los Angeles, a separate legal fight over the killing of Drakeo the Ruler has reached a conditional settlement nearly five years after the rapper was fatally stabbed backstage at a music festival.

A notice filed Oct. 9 in Los Angeles Superior Court confirms that Drakeo's estate, administered by his mother, Darrylene Corniel, reached an agreement with Live Nation and several other companies involved in the Once Upon a Time in L.A. festival.

The settlement resolves the estate's claims, subject to specified conditions being completed within 45 days. No financial terms have been disclosed.

Drakeo, born Darrell Wayne Caldwell Jr., was 28 when he was attacked backstage on Dec. 18, 2021, shortly before he was scheduled to perform.

His estate accused the festival promoters and security contractors of failing to maintain a secure backstage area and allowing a group of attackers to reach the rapper and his entourage.

The defendants disputed the negligence allegations. The settlement does not constitute a court finding that they were responsible for his death.

The agreement also does not end all the civil litigation arising from the attack.

Claims involving Drakeo's younger brother, rapper Ralfy the Plug, and others who were backstage remain scheduled for trial Nov. 30.

The criminal investigation remains unresolved. No one has been charged with Drakeo's killing.

The estate's agreement settles a major part of the civil case, but it does not establish who killed the rapper or whether the remaining plaintiffs will prevail against the festival organizers.

Drakeo the Ruler's "Talk to Me," featuring Drake, appeared on his 2021 album The Truth Hurts. (Drakeo the Ruler/YouTube)