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- JPMorgan Chase no longer wants to pay Charlie Javice’s legal expenses.
- The bank claims Javice’s legal bills included excessive charges for food, alcohol, and travel.
- See a slideshow of some of the zanier expenses at the center of this dispute.
Gummy bears, ice cream, cookies, and martinis may sound like the makings of a holiday party, but they are among the expenses now at the center of a legal fight between JPMorgan Chase and convicted startup founder Charlie Javice.
Javice was sentenced to seven years in prison earlier this year over fraud tied to Frank, the financial aid startup she sold to JPMorgan in 2021 for $175 million. Despite that conviction, JPMorgan has been ordered to pay the legal bills of its former executive.
JPMorgan, which has already covered some $60 million in legal expenses for Javice, is now asking a Delaware Court of Chancery judge to relieve it of an additional $18 million in expenses.
It argued that Javice has abused the advancement system by running up excessive and improper legal expenses. Javice’s lawyers have until January 5 to respond.
On Tuesday, Quinn Emanuel, which represents Javice in the Delaware case, pushed back, saying JPMorgan is “trying to walk away from its contractual obligation to pay Ms. Javice’s legal bills.”
The bank is “highlighting a handful of attorney expenses (not incurred by Ms. Javice) over two years, the vast majority of which it already reviewed and paid or are not disputed,” Quinn Emmanuel spokesman Eric Herman said.
See a list of some of the expenses JPMorgan has highlighted in its Delaware court filing:
