Chance the Rapper Faces Off Against Former Manager in Contentious $3.8 Million Lawsuit

Chicago, IL – Chance the Rapper is currently embroiled in a high-stakes legal battle with his former manager, Patrick Corcoran, also known as “Pat the Manager,” over a disputed $3.8 million commission. The civil trial, underway in the Circuit Court of Cook County, Illinois, centers on a claimed handshake deal and the absence of a formal written contract.

The Core of the Dispute: A Handshake Deal and Unpaid Commissions

At the heart of the lawsuit are Corcoran’s allegations that he is owed $3.8 million in unpaid commissions stemming from his work with Chance the Rapper (born Chancelor Bennett) from 2012 to 2020. Corcoran asserts that a verbal agreement entitled him to 15% of net proceeds across all income streams, including a three-year “sunset clause” providing continued payment after his termination in 2019.

Chance the Rapper, however, disputes the existence of a sunset clause, claiming their arrangement was an “at-will agreement” without a defined termination clause. He testified that he consistently paid Corcoran 15% of his net proceeds throughout their working relationship, totaling $11 million, and that Corcoran was the highest-paid member of his company, Chance the Rapper LLC.

Chance the Rapper’s Testimony: No Sunset Clause, Consistent Payments

Taking the stand on Tuesday, March 10, 2026, Chance the Rapper stated, “We never described it as a contract until he sued me. We had an at-will agreement that didn’t address termination.” He further emphasized, “We never discussed the sunset clause, we just discussed how I’d pay him. And one thing that stayed consistent is that I paid him his 15% [in net proceeds]. … I kept paying him that 15%.” He asserted that he always compensated Corcoran for his work, stating, “I can’t think of one situation where he did meaningful work and I didn’t pay him.”

Corcoran’s Claims and the Reason for Termination

Corcoran alleges he was terminated in 2019 due to “fan disappointment” with Chance the Rapper’s album, The Big Day, and subsequent low ticket sales for the accompanying tour. He was replaced as manager by Chance’s father, Ken Bennett, and brother, Taylor Bennett. Corcoran is seeking $3.8 million in unpaid commissions, as well as exemplary damages for breach of their agreement and violations of the Illinois Sales Representative Act.

Counterclaims and Trial Timeline

In 2021, Chance the Rapper filed a countersuit, seeking over $1 million in damages. He alleges that Corcoran breached his fiduciary duties, prioritized his own interests, and made business decisions that negatively impacted his career. The trial, expected to last approximately two weeks, began with Corcoran’s testimony and has now included testimony from Chance the Rapper.

The case highlights the risks associated with verbal agreements in the music industry and the importance of clearly defined contracts between artists and their managers.