Court rules Elvis’ Graceland mansion can’t be seized – for now | CNN Business

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Graceland may remain in the hands of Elvis Presley’s family for now, after a Tennessee court chancellor ruled Wednesday that a mysterious company trying to sell it likely committed fraud.

Chancellor JoeDae Jenkins said a proposed foreclosure sale of Graceland, Elvis Presley’s historic home in Memphis, would be postponed at least until a future hearing determines who retains rightful ownership of the estate. A strange series of events pits the late singer’s granddaughter against a mysterious corporation that claims Elvis’ daughter gave him the act to Graceland.

A hearing in Shelby County, Tennessee, Chancery Court determined that Thursday’s planned auction of Graceland would irreparably harm Elvis’ granddaughter, Danielle Riley Keough, who filed a lawsuit to block the sale. Keough took ownership of the estate and popular tourist attraction after the deaths of her mother and Elvis’ daughter, Lisa Marie Presley, in January 2023.

“The estate is considered unique under Tennessee law, and because it is unique, the loss of the real property will be considered irreparable harm,” Jenkins said.

Jenkins also said there was evidence that a company trying to foreclose on Graceland had falsified documents that it claimed gave it the right to sell the property. After the hearing, a person who said they represented the company trying to seize the property said they would drop their claim.

In a statement, Graceland said the property will continue to operate.

“As the court made clear, the allegations were unfounded,” the statement said. “There will be no seizure. Graceland will continue to operate as it has for the past 42 years, ensuring that Elvis fans around the world can continue to have the best possible experience when visiting his iconic home.

Who owns the rights to Graceland?

A company called Naussany Investments & Private Lending LLC had claimed that Lisa Marie Presley had failed to repay a $3.8 million loan it gave it — and Naussany said Presley put Graceland up as collateral for the loan. Seeking reimbursement, she had scheduled an auction of the estate.

This was not a typical foreclosure sale. Keough filed a lawsuit earlier this month, claiming no such loan existed. She also claims that Naussany is not even a real company.

“These documents are fraudulent,” Keough’s lawsuit claims. “Lisa Marie Presley never borrowed money from Naussany Investments and never gave a deed of trust to Naussany Investments.”

The lawsuit alleges that Naussany Investments & Private Lending LLC “appears to be a false entity created for the purpose of fraud.”

Although Naussany provided what appears to be a 2018 notarized promissory note signed by Lisa Marie Presley to provide Graceland as collateral, Keough’s lawsuit said it was a forgery. In a signed affidavit, the notary denied ever notarizing anything Lisa Marie Presley signed.

Chancellor Jenkins said the affidavit was sufficient evidence to delay the seizure until a hearing could determine the facts. But Jenkins also said the evidence suggested Keough was telling the truth.

“It appears that you will succeed on the merits … provided that you prove at the final hearing the fraud alleged by your client and the notary,” Jenkins said Wednesday.

Naussany said it would not pursue its claim and would “withdraw all claims with prejudice,” according to a statement released today by a person identified as a representative of Naussany Investments & Private Lending LLC, the accused company of having attempted to fraudulently. seize the historic property.

“Due to the fact that the deed of trust was not recorded and the loan was obtained in a different state, lawsuits are expected to be filed in multiple states and Naussany Investments & Private Lending will not pursue lawsuits “, the company said. after consultation with the company’s lawyers. No harm was done to Mrs. Keough because of LMP’s bad habits and her mother’s mismanagement of money.

Elvis Presley Enterprises, the company that manages Presley’s estate, acknowledged that Naussany’s claim was illegitimate.

“Elvis Presley Enterprises can confirm that these claims are fraudulent,” the company said. “There is no foreclosure sale. Simply put, the countersuit was filed to stop the fraud.

A judge granted a temporary restraining order last week, preventing Naussany from selling Graceland. Jenkins extended that order Wednesday.

After Lisa Marie Presley’s death, Keogh and her grandmother, Priscilla Presley, fought for the rights to her estate, including Graceland. Eventually, Keough and Presley settled and Keough became sole owner of Graceland.

In 2004, Lisa Marie Presley sold 85% of the assets of Elvis Presley Enterprises in a deal estimated to be worth more than $100 million. But she retained full ownership of the Graceland mansion and Elvis’ personal items housed in what is now the Graceland Museum, according to the Graceland website.

Graceland is one of the South’s largest tourist attractions, visited by hundreds of thousands of people each year, Graceland says on its website. Lisa Marie Presley has earned seven figures every year, based on a court filing in her 2022 divorce.

Keough was born to parents Lisa Marie Presley and musician Danny Keough in 1989. She is a well-known actress, appearing in “Mad Max Fury Road” and other Hollywood hits. She also appears in Hulu’s “Under the Bridge.”

First credited as an actor in the 2010 film The Runaways, Keough has accumulated a number of acting roles. She recently starred in “Daisy Jones & The Six,” where she played a struggling musician in a band on the verge of success.

In an article for Vanity Fair, Keough revealed that she had a daughter, Tupelo Storm Smith-Petersen, born via surrogate in August 2022. Elvis was born in Tupelo, Mississippi, in 1935, but Keough said the name her paid homage. late brother, Benjamin Storm Keough, died in 2020 at the age of 27.