The Michael Jackson estate has officially responded to questions raised by Paris Jackson regarding so-called “premium payouts” made to attorneys in 2018—payments that the late singer’s daughter described as excessive and lacking clear justification.

According to court documents filed on July 15 and obtained by People, the estate argues that the compensation given to the lawyers was “well deserved and reasonable,” reflecting their expertise, negotiation skills, and critical role in managing the estate’s complex affairs.

Background of the Dispute

Paris Jackson, 27, filed court documents on June 24 expressing concern over the estate’s practice of granting “premium payments” for unrecorded attorney time—what she referred to as “uncaptured time.” She questioned why lawyers were paid in full for hours that were not properly recorded and suggested that some of the payments amounted to “lavish gratuities” for attorneys already well compensated.

The controversy centers on a six-month period in 2018 when the estate’s executors requested court approval for $625,000 in payments to three law firms. Paris’s filing also alleged that two of the firms had violated a court order that only allowed partial payment of attorneys’ fees until further approval was granted.

Estate’s Defense

In their July 15 response, the estate emphasized the indispensable role the attorneys played, especially during the sale of the estate’s share in EMI to Sony, which returned over $287 million to Michael Jackson’s estate. They stated:

“The attorneys were instrumental and critical in assisting and supporting the Executors in achieving unprecedented results for the Estate.”

The estate further argued that the attorneys’ work “cannot be adequately measured or fairly compensated by an hourly rate fee payment,” noting that it is common in the entertainment industry for high-profile lawyers like Mr. Weitzman and Mr. Katz to receive compensation beyond standard hourly fees.

They concluded that the payouts were “well deserved and reasonable given the nature and difficulty of the tasks performed, the results achieved and the unprecedented benefit of the respective firms’ services to the Estate.”

The Larger Context

At the time of Michael Jackson’s death in 2009, he was reportedly over $500 million in debt and owed money to more than 60 creditors. Court documents obtained in June 2024 revealed that he was accruing $30 million in debt annually leading up to his planned comeback residency at London’s O2 Arena.

Following his passing, the responsibility to manage and settle these debts fell to the estate, with Paris Jackson and her brothers Prince and Bigi named beneficiaries.

Next Steps

A hearing regarding the “premium payouts” dispute is scheduled for July 15. As the legal debate unfolds, the case highlights the ongoing complexities of managing one of the most valuable and scrutinized estates in music history—balancing financial realities with the expectations of Michael Jackson’s heirs.