Johnny Depp’s former managers have filed suit to foreclose on the actor’s Los Angeles properties in a bid to get back $5 million they loaned to the star.
The Management Group executives took the legal action on Monday (06Nov17), almost a year after the Pirates of the Caribbean star kicked off a spat with them by filing a $25 million fraud suit.
TMG bosses have asked a judge to force the sale of five homes owned by Depp-run trusts to settle a loan they gave the movie star in December, 2012, according to Deadline.
“TMG agreed to come to the aid of its long-time client,” the complaint, filed in Los Angeles Superior Court and obtained by the outlet reads. “The idea behind this arrangement, which was designed to save Depp from a public and devastating financial collapse, was that Depp would pay TMG what TMG was required to pay CNB (City National Bank) under the loan.
“At least at the time, Depp and his sister, personal manager, and the president of his production company, (Elisa Christi) Dembrowski, were very grateful to TMG for coming to Depp’s aid and helping him to avoid a public financial collapse,” TMG’s lawyers, Michael Kump and Suann MacIsaac, add. “In fact, three years later, Depp used the fact that TMG had lent him money to pressure his long-time agent, United Talent Agency, to guarantee a further multi-million dollar loan from Bank of America.”
According to the complaint, Depp paid interest and “some principal payments” until he terminated TMG as his business manager in March, 2016.
“After that date, Depp and his new business manager, (Edward) White, have refused to pay any interest or principal on the loan,” the document reads. “Well over $4.4 million is due and owing under the TMG/Depp Note.”
After filing suit against his former business managers at the beginning of this year, Depp was accused of “irresponsible and profligate spending” by TMG bosses, who added, “Depp listened to no one, including TMG and his other advisors, and he demanded they fund a lifestyle that was extravagant and extreme.
“As a result of Depp’s uncontrollable spending, which exceeded the net income he received from his films, Depp was forced to borrow large sums of money to fund a lifestyle that continued to become more and more extravagant over the years,” Monday’s filing reads.