New Delhi: The legal bill that JPMorgan Chase is appealing angrily about paying more than $115 million that was in the case of Charlie Javice, the founder of the defunct startup, Frank. In March 2025, Javice was found guilty of conspiracy, wire and bank fraud in connection with allegedly defrauding JPMorgan into buying her company to the tune of $175 million.
She is deeply religious and yet an acquisition agreement has a clause that JPMorgan will pay her legal defense expenses. The bank however says that the charges are prohibitive and wants to terminate its liability.
JPMorgan questions huge legal bill
The legal staff at JPMorgan believes that the bill of $115 million is unpatentable and scandalous. According to the bank, Javice had employed five law firms, among them, one was given a contract of $35.6 million that resulted to overlapping and duplicative payments. JPMorgan argues that Javice and her counselors took the fee arrangement as a blank check, which incurs inappropriate costs. The bank is currently requesting the court to intervene to bring an end to its duty to make such legal payments.
The legal team of Javice is yet to react to these allegations. The result of this conflict can be of great interest to the future corporate purchases and contractual obligation enforcement with regard to the legal costs.
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