LOS ANGELES (CelebrityAccess) Roc Nation has reportedly filed a lawsuit against its insurance carrier and is seeking $11 million regarding the death of Maroon 5 manager Jordan Feldstein.
Roc Nation, a joint venture of Jay-Z and Live Nation Entertainment partnered with Feldstein’s Career Artist Management in 2016 and took out a “key man” life insurance policy with HCC International Insurance to protect its investment with the music manager, according to Variety. Roc Nation claims that, after Feldstein died Dec. 22, 2017 because of a blood clot in his let, HCC was slow in evaluating the claim and finally determined the payout would $1.2 million; the policy carried a liability limit of $12.5 million, according to Roc Nation’s lawsuit.
The suit alleges the insurer low-balled Roc Nation’s lost revenue, according to Variety.
“Plaintiff invested in CAM with the idea of recouping its investment and making a profit for years to come based on Mr. Feldstein’s skills and attributes,” the suit reportedly alleges. “With Mr. Feldstein alive, Plaintiff could and most likely would have made many tens of millions of dollars in profits over the life of the partnership.”
The suit accuses the carrier of creative interpretation of ambiguous contract language.
“HCCI’s interpretation of the limitation clause in the definition of ‘Direct Ascertained Net Loss’ invokes an outrageously unrealistic view of what can be accomplished by a dead person because HCCI is claiming that all CAM revenue forever is ‘generated as a result of’ Mr. Feldstein and that simply is not reality in the artist management business,” the suit claims. “Talent needs constant attention and HCCI’s position in this case diminishes the value of many hardworking people who work to keep an artist’s career moving forward on a daily basis.”
Roc Nation alleges breach of contract and breach of the covenant of good faith and fair dealing. It is seeking the balance of the policy limit.