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HIP-HOP • MUSIC BUSINESS / HIP-HOP

Chance's Manager Was Getting Money From Both Sides. The Judge Says That's a Problem.

A Chicago judge ruled former manager Pat Corcoran breached duties tied to Chance the Rapper's merchandise business. The financial remedy remains to be finalized.

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Chance the Rapper performing at Red Rocks in 2017
Archival photograph; not a photograph of the reported October 2026 event. Julio Enriquez / Wikimedia Commons, CC BY 2.0; authentic May 2017 live photograph ↗

Being somebody's manager is supposed to mean you look out for their business, not quietly set up a second paycheck from the people selling them merchandise. That's the heart of a new Chicago court ruling in Chance the Rapper's long-running fight with former manager Pat Corcoran. Cook County Judge James E. Hanlon Jr. found that Corcoran violated duties owed to Chance in his merchandise operation and ordered him to give up related compensation. We don't have a final dollar amount yet, so don't turn 'up to $1.5 million' into a paid judgment.

Where the conflict happened

The October 13 ruling, described by Music Business Worldwide and outlets that examined the court filing, found Corcoran received commissions from vendors serving Chance's merch business while also collecting a 15 percent management fee connected to that business. Corcoran must return the outside vendor payments and forfeit certain management commissions. The judge also directed him and his company to transfer ChanceRaps.com to Chance within 14 days. Chance's team estimates the forfeited fees could approach $1.5 million, but the court has not fixed the final figure.

Chance the Rapper performing at Red Rocks in 2017
Archival photograph; not a photograph of the reported October 2026 event. Julio Enriquez / Wikimedia Commons, CC BY 2.0; authentic May 2017 live photograph ↗

This follows another trial earlier in 2026 in which a jury rejected Corcoran's attempt to collect millions in additional fees. But the latest decision was not a total clean sweep for Chance: the judge refused punitive damages and declined to claw back every dollar Corcoran earned over their relationship. Some conduct involving outside ventures was evaluated separately, and the court distinguished disloyal behavior from ordinary business interests a manager could legally pursue.

A handshake ain't an accounting system

We love the story of an artist and a day-one manager building something without the industry machine. I get it. But if millions start moving and nobody has clear written terms, independent audits and conflict-of-interest rules, that romantic origin story can turn ugly real quick. Loyalty is not a substitute for transparency. You shouldn't have to go to court to figure out who was collecting checks from the very vendors you hired.

And the wild thing is, none of this requires pretending managers are useless. A good manager negotiates deals, opens doors and protects an artist from getting fleeced. Get paid for that work. But when your own cut depends on an arrangement the artist doesn't understand, you've got a problem. Chance can celebrate a meaningful ruling while everybody else in music takes notes: ask who gets paid, who owns the domain and whether the person advising you has another financial interest on the other side.

SOURCEMusic Business Worldwide: judge's findings and limits

Original source and reporting; read at publisher.

SOURCEThe Source: Chance response and ruling details

Original source and reporting; read at publisher.

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