There’s a battle brewing on Manhattan’s West Side between “Jay-Z” (also known as Shawn Carter) and Highland (Highland) Capital Management LP — a bank located Dallas, Texas, that granted the superstar hip-hopper and his business partners a $52 million loan to build the J Hotel.
Despite his best efforts, it appears that the super successful businessman (he also co-owns several businesses, including The 40/40 Club and the New Jersey Nets) might not be able to freestyle his way out of losing millions on a deal that never got off the ground.
Literally.
The founder of Roc-A-Fella records and former CEO of Def Jam Recordings recently filed a lawsuit against Highland, according the Wall Street Journal, alleging that the bank is attempting to “bleed” him for more money by not settling the debt fast enough. In short, the longer the negotiations last, the more interest accrues on the massive loan.
To the tune of $20,000 a day.
Jay-Z — who is only responsible for the interest on the loan, not the principal — is seeking more than $3.7 million in damages. But, according to a statement from Highland, the claim is “merit less.”
Here’s a snip:
“Highland Capital Management believes the claims asserted by Mr. Carter are merit less and will vigorously defend itself and intends to pursue the obligations owed to Highland’s investors by the borrower, Mr. Carter and the other guarantors.”
It’s a hard knock life.
