Spokesman: Leibovitz working to resolve loan issue - CBS News 8 - San Diego, CA News Station - KFMB Channel 8

Spokesman: Leibovitz working to resolve loan issue

Posted: Updated:
NEW YORK (AP) - Celebrity photographer Annie Leibovitz was continuing to try to resolve matters with her lender, her spokesman said Wednesday, a day after the deadline passed for her to repay a $24 million loan or lose the rights to her life's work.

The lender, Art Capital Group, sued the 59-year-old Leibovitz in July, claiming she breached an agreement that authorized it to act as the agent in the sale of her photography and real estate.

The famed photographer's images have regularly graced the covers of Vanity Fair, Vogue and Rolling Stone.

The deadline to repay the loan passed at 11:59 Tuesday without either party saying what would happen next. Leibovitz risked losing the lucrative copyright to her images if she didn't pay back the loan.

"Annie is continuing to work to resolve this matter with Art Capital," her spokesman, Matthew Hiltzik, said Wednesday.

Art Capital is a Manhattan-based company that issues short-term loans against fine and decorative arts and real estate. It declined to comment after the deadline passed.

In 2008, Leibovitz put up as collateral three Manhattan townhouses, an upstate New York property and the copyright to every picture she has ever taken - or will take - to secure the loan with Art Capital.

The company said Leibovitz needed the money to deal with a "dire financial condition arising from her mortgage obligations, tax liens and unpaid bills to service providers and other creditors."

Art Capital consolidated all her loans in September 2008. The lawsuit charged that Leibovitz had breached a December 2008 sales agreement with the company, granting Art Capital the right to sell the collateral before the loan came due. The lawsuit claimed she refused to allow real estate experts into her homes to appraise their value and blocked the company from selling her photographs.

Art Capital has estimated the value of the Leibovitz portfolio at $40 million, and real estate brokers say her New York properties are worth about $40 million.

Under the sales agreement with Leibovitz, the company would get 10 percent commission on the sale of Leibovitz's real estate and 15 percent on the sale of her portfolio.

Leibovitz would get the remainder after paying off the $24 million loan, interest and other fees. If she defaults, the company would get a net 12 percent commission, after paying approximately 13 percent for costs and fees.

Over the years, Leibovitz's lens has captured such famous faces as Barack Obama, Queen Elizabeth II and Bruce Springsteen. She gave the world its first glimpse of baby Suri, newborn daughter of Hollywood's superstar couple Tom Cruise and Katie Holmes, on the cover of Vanity Fair, which she joined 1983.

Many of her images are provocative and controversial, including those last year of 15-year-old Miley Cyrus exposing bare shoulders and back, and a portrait of a very pregnant and nude Demi Moore in 1991.

Copyright 2009 The Associated Press.

  • Entertainment NewsEntertainment NewsMore>>

  • AP Exclusive: Stephen Hawking's wheelchair, thesis for sale

    AP Exclusive: Stephen Hawking's wheelchair, thesis for sale

    Sunday, October 21 2018 7:13 PM EDT2018-10-21 23:13:58 GMT
    Wednesday, October 24 2018 1:30 AM EDT2018-10-24 05:30:15 GMT
    AP Exclusive: Auction of Stephen Hawking possessions includes complex scientific papers, iconic wheelchair and a script from 'The Simpsons'. 
    AP Exclusive: Auction of Stephen Hawking possessions includes complex scientific papers, iconic wheelchair and a script from 'The Simpsons'. 
  • Sarah Silverman Has Tough Love For America

    Sarah Silverman Has Tough Love For America

    Tuesday, October 23 2018 11:38 PM EDT2018-10-24 03:38:37 GMT

    'I Love You, America' host Sarah Silverman says her love for America, like all love, can be a struggle at times.

     

    'I Love You, America' host Sarah Silverman says her love for America, like all love, can be a struggle at times.

     
  • Rowling, Tolkien, Austen novels vie for bragging rights

    Rowling, Tolkien, Austen novels vie for bragging rights

    Monday, October 22 2018 1:35 PM EDT2018-10-22 17:35:01 GMT
    Tuesday, October 23 2018 4:47 PM EDT2018-10-23 20:47:04 GMT
    (AP Photo). This combination photo shows J.R.R. Tolkien, author of "The Lord of the Rings," series in 1967, left, and J. K. Rowling, author of the "Harry Potter" series at  the "Harry Potter and the Cursed Child" Broadway opening in New York on April 2...(AP Photo). This combination photo shows J.R.R. Tolkien, author of "The Lord of the Rings," series in 1967, left, and J. K. Rowling, author of the "Harry Potter" series at the "Harry Potter and the Cursed Child" Broadway opening in New York on April 2...
    A six-month effort to find America's best-loved novel is coming to end, with works by J.K. Rowling and Jane Austen among the top contenders. 
    A six-month effort to find America's best-loved novel is coming to end, with works by J.K. Rowling and Jane Austen among the top contenders. 
Powered by Frankly
All content © Copyright 2000 - 2018 KFMB-TV. All Rights Reserved.
For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices.