Toni Braxton’s creditors won’t get their hands on the songstress’s six Grammys, under a deal that won bankruptcy-court approval this week.
Last month, Bankruptcy Beat blogged about a deal Braxton struck in her bankruptcy to ensure she gets to keep such prized possessions as the Grammys, Tiffany jewelry and 1995 Porsche 911. Court papers show that a Los Angeles bankruptcy judge on Tuesday approved the deal, which allows for the seizure of those same assets if Braxton doesn’t pony up $125,000 for her creditors.
The National Academy of Recording Arts & Sciences Inc., which hands out the Grammy awards each year, had expressed concern that agreement didn’t clearly recognize that the awards are nontransferable without its consent. But NARAS said it would hop on board if the deal clearly stated these terms, and the court order approving the deal does just that.
Braxton won her first Grammys in 1993 in the Best New Artist and Best Female R&B Vocal Performance categories. She won Best Female R&B Vocal Performance three more times–for the songs “Breathe Again” in 1994, “You’re Makin’ Me High” in 1996 and “He Wasn’t Man Enough” in 2000. And of course there’s mega-hit “Un-Break My Heart,” which won the Best Female Pop Vocal Performance category in 1996.
The Chapter 7 case is Braxton’s second bankruptcy. The newly approved court deal will allow the singer to avoid the liquidation of such belongings as her household goods, furniture, clothes, books, jewelry, a life-insurance policy, a piano and a Porsche. The goods, however, remain subject to a lien by the Internal Revenue Service for unpaid taxes.
Source: The Wall Street Journal
