Chance the Rapper just got a judge to say out loud what artists have been arguing for decades: a manager who takes your money is your fiduciary, not your partner in a gray area.
On Tuesday, Oct. 13, Cook County Circuit Court Judge James E. Hanlon Jr. ruled that Chance's former manager Patrick "Pat" Corcoran breached his fiduciary duties, according to XXL's report citing Billboard and HotNewHipHop's follow-up from Oct. 16. The number attached: up to $1.5 million in forfeited management fees and merch-related compensation.
What the judge found
Per HNHH, Hanlon found Corcoran took kickbacks from merch vendors on deals with Chance while also collecting management pay from him. Corcoran has to return those vendor commissions and give up a 15 percent management fee tied to merch during the trial period. The court still has to settle the vendor-commission figure; a status hearing to finalize numbers is set for Nov. 30, per XXL.
The ruling goes past merch. The judge also found Corcoran breached his duty of loyalty over an equity request in UnitedMasters, and his duty of candor over the Ramova Theatre and the We Are The Times media project. HNHH reports those three deals were meant exclusively for Chance. Corcoran and his company, Pat The Manager, LLC, must transfer ChanceRaps.com to Chance within 14 days.
On Corcoran's credibility, HNHH quotes the judge saying he "changed with the audience."
Why this one matters past Chicago
Chance and Corcoran worked together from 2012 to 2020, reportedly without a written contract. That is the detail to sit with. A handshake era built one of the most independent careers in modern rap, and the paper trail that would have protected it did not exist. Corcoran also argued a "sunset clause" entitled him to pay for three years after the relationship ended. A jury in March sided with Chance on those cross-claims and awarded him $35, per XXL.
Chance's attorney Precious S. Jacobs of Jenner & Block said the ruling is the first to confirm that a manager who represents an artist is a fiduciary, per XXL. Corcoran's spokesperson countered, per the same report, that the court found no basis for Chance's claim of more than $10 million in damages. Both sides are on the record; the damages fight is not over.
Chance's own statement was short: "I'm grateful to finally close this chapter of my life and can't wait to eventually tell my side of the story."
The ownership read
Independent artists get told that freedom is the goal. This case is the fine print on that: independence without contracts, counsel and clear lines between who works for whom is just exposure. Every artist running a self-built team should read the UnitedMasters and Ramova findings and ask who in their circle is being paid on both sides of a deal.
Related on S&B: owning your masters, explained and Chance's no-label experiment and what came after.
## Sources - XXL, "Chance The Rapper Wins $1.5 Million Judgment in Second Trial Against Former Manager" (Oct. 15, 2026) - HotNewHipHop, "Chance The Rapper Scores Hefty Settlement After Winning Case Against Former Manager" (Oct. 16, 2026)