By Rose Miami 
HangupsMusic.com – Chicago, IL – The courtroom drama surrounding Grammy-winning artist Chance the Rapper, born Chancelor Johnathan Bennett, and his former manager, Patrick Corcoran, reached a pivotal stage this week as the rapper took the stand to present his account of their business relationship and its contentious dissolution. The ongoing trial in Cook County, Illinois, centers on a complex financial dispute, with Corcoran alleging a handshake agreement entitled him to a substantial portion of Chance’s earnings for an extended period following their professional separation.
Corcoran’s lawsuit, filed in 2020, claims a verbal agreement was forged in 2012, stipulating that he would receive 15% of Chance the Rapper’s net proceeds from all income streams. A crucial element of this alleged agreement, according to Corcoran’s complaint, was a "sunset clause" designed to ensure his continued compensation for three years after his termination. This clause, he argues, was an integral part of their informal contract.
However, when Chance the Rapper testified on Tuesday, March 10, his narrative diverged significantly from the one presented by his former manager. The Chicago artist maintained that he was unaware of any formally defined sunset clause within their arrangement. He characterized their professional relationship as an "at-will agreement," one that lacked explicit stipulations regarding termination and its financial ramifications. "We never described it as a contract until he sued me," Chance reportedly stated from the witness stand, as reported by the Chicago Sun-Times. "We had an at-will agreement that didn’t address termination."
Chance elaborated on his understanding of their financial dealings, emphasizing a consistent practice of remitting the agreed-upon percentage. "We moved that way forever. We never discussed the sunset clause, we just discussed how I’d pay him," he continued. "And one thing that stayed consistent is that I paid him his 15% [in net proceeds]. I kept paying him that 15%." The rapper further asserted his commitment to his manager’s compensation during their tenure, stating, "I can’t think of one situation where he did meaningful work and I didn’t pay him."
During his testimony, Chance revealed the considerable financial scope of their working relationship. He indicated that he paid Corcoran a total of $11 million over the eight years they collaborated, from 2012 to 2020. Furthermore, Chance identified Corcoran as the highest-compensated individual on the payroll of his company, Chance the Rapper LLC, underscoring the significant financial commitment made to his management.
Corcoran, who also goes by the moniker "Pat the Manager," was reportedly terminated in 2019. His lawsuit attributes his dismissal to the perceived negative reception of Chance’s 2019 album, The Big Day, and the subsequent underperformance of its accompanying tour. Following his departure, Corcoran was succeeded by Chance’s father, Ken Bennett, and his brother, Taylor Bennett. Despite this transition, Corcoran contends that Chance failed to honor their alleged post-employment agreement, specifically the sunset clause. He is currently seeking approximately $3.8 million in unpaid commissions, along with exemplary damages for breach of contract and violations of the Illinois Sales Representative Act.
The legal entanglement escalated in 2021 when Chance the Rapper filed a countersuit against Corcoran, demanding over $1 million in damages. In his counterclaim, Chance alleged that Corcoran had neglected his managerial responsibilities, acting disloyally and prioritizing his own interests above the rapper’s career. This counter-action claims that Corcoran’s actions led to detrimental business deals that harmed Chance’s professional trajectory. This specific counterclaim has not yet proceeded to trial.
The civil trial, which commenced this week, is anticipated to span approximately two weeks as both parties present their evidence and arguments. The outcome of this legal battle will not only determine the financial obligations between Chance the Rapper and his former manager but could also set a precedent for the interpretation of informal verbal agreements within the music industry. The proceedings continue to draw significant attention, highlighting the complex dynamics that can arise from long-term professional collaborations.