FT: Michael Jackson estate settles sexual abuse claims with $2.5 million payment

Earlier this year, Michael Jackson’s estate quietly disbursed a total of $2.5 million to five accusers who claimed the late pop star sexually abused them, according to cheques and correspondence reviewed by the Financial Times.

This payment finalised a $16.5 million settlement reached in 2020 with the accusers—now identified as members of the Cascio family, longtime friends of Jackson—whose allegations have been at the centre of a contentious legal battle that has threatened efforts to safeguard the singer’s legacy.

Next week, a Los Angeles judge is scheduled to decide whether the Cascio siblings’ claims can be aired in open court or must remain confined to private arbitration, according to court filings seen by the FT.

The Cascios contend they were pressured into agreeing to the settlement without fully understanding its terms. They assert they are owed additional compensation and wish to publicly share their story.

The ongoing dispute poses a potential threat to Michael, a $155 million biopic supported by Hollywood studios Lionsgate and Universal Pictures, which is slated for an April release. A major marketing campaign is set to launch this month, with previews of Michael expected to run ahead of the Wicked sequel.

In the summer of 2025, the estate filed legal proceedings against Frank Cascio, who once served as Jackson’s manager, alleging extortion and seeking to enforce that the dispute be handled through arbitration.

In October, five members of the Cascio family publicly accused Jackson of grooming and abusing them over decades, starting in childhood, according to court documents.

The Jackson estate has described the claims as false and an attempt at extortion, arguing that the 2020 settlement agreement requires all disputes to be addressed via confidential arbitration.

The Cascios, however, claim the settlement is invalid under California laws that forbid confidentiality agreements in cases involving alleged sexual assault. They further allege the estate exploited their trauma and discouraged them from seeking legal counsel.

Over the past year, both sides have engaged in private negotiations while simultaneously disputing various issues through litigation.

Jackson, one of pop music’s most successful yet controversial figures, rose to fame as a child with the Jackson 5. At the time of his death in 2009, he was heavily in debt. His will appointed longtime lawyer John Branca and music executive John McClain as co-executors to manage his finances. Together, they rebuilt Jackson’s fortune—amassing over $3 billion in earnings—and attempted to restore his reputation amid recurring allegations of child sexual abuse.

These efforts faced renewed scrutiny after HBO’s 2019 documentary Leaving Neverland, which featured detailed testimony from two men alleging abuse by Jackson during their childhood. Shortly after the documentary aired, the Cascio family made their claims to the estate.

The 2020 settlement, framed as a purchase of their “life rights,” stipulated that each of the five accusers would receive approximately $3.3 million over several years.

In a 2024 interview with the FT, Branca explained his reasoning for settling: “We survived Leaving Neverland but I’m not sure we could have with those additional allegations,” he said. He added that his lawyers advised him: “You have no choice. If these people come forward and make these allegations, then Michael is over—his legacy is over, the business is done.”

Branca expressed optimism regarding the new biopic, stating, “It’s a bullish time right now. I can feel the market building. When this movie hits, it’s gonna be all the time.”

A hearing on the matter is scheduled for November 6 in the Los Angeles Superior Court.

By Tamilla Hasanova