Annie Leibovitz will have an extra month to cope with her current financial situation, thanks to a recent court ruling. But she could be staring down another set of legal woes.
New York State Supreme Court Justice Bernard Fried ruled on Wednesday that the celebrity photographer has until October 1, 2009 to respond to a lawsuit that Art Capital Group filed. The art-focused bank has accused Leibovitz of failing to repay the $24 million she borrowed from it.
The decision does not change Leibovitz's obligation to pay back Art Capital Group by September 8, and a report by Bloomberg News suggests that even if she misses this deadline, Art Capital Group may not declare a default, as it could push her into bankruptcy, which could complicate repayment. The photographer's attorney, Steven Brawer of Lowenstein Sandler PC, wouldn't reveal whether settlement talks are being conducted.