Presley Estate Served With $3.8 Million by Creditor (Celebrity Estate Plans: Part 9)
On September 18, 2023, one month after settling a trust dispute, the Estate of Lisa Marie Presley was notified of an alleged outstanding $3.8 million loan against it. Naussany Investments & Private Lending, LLC filed a lawsuit alleging Ms. Presley, the sole child of rock n’ roll legend Elvis Presley, used her interest in Elvis Presley Enterprises and Graceland as collateral for the unfulfilled loan. Naussany claims it mailed Presley many letters that were refused and returned to sender and asserts that Presley had until May 16, 2022 to repay the debt.
Presley died in January 2023 resulting from a small bowel obstruction complication. A dispute regarding Presley’s trust arose shortly after her death, which was settled in August 2023 (read more about that here). This new allegation follows less than a month after the settlement was reached in the initial suit.
This situation serves as an important reminder that a person’s Estate is still responsible for the decedent’s debts. Executors and administrators should take care to avoid making distributions during the period in which creditors are permitted to make claims, which varies from state to state. In New Jersey, creditors have nine months to assert a claim against an estate. In Pennsylvania, creditors have one year. Regardless, fiduciaries of an estate should be on alert for creditors during this time period.