Foreclosure sale of Elvis Presley's home Graceland halted by judge
A judge has put a stop to the foreclosure sale of Graceland, the former home of music legend Elvis Presley, located in Memphis, Tennessee. The decision was based on potential fraud allegations against an investment company by the Presley estate. Following this ruling, the company involved in the foreclosure promptly withdrew its claims. This development strengthens a previous restraining order sought by Presley's granddaughter, actor Riley Keough.
What does the term legally mean?
Per Cornell Law School, "A foreclosure sale is the final stage of a foreclosure legal process. After the lender (usually a bank) carries out the foreclosure legal process, the mortgaged property is sold at auction or transferred back to the lender. The purpose of a foreclosure sale is that the lender recovers all or part of the money on a defaulted loan."
Graceland's foreclosure sale linked to unpaid loan
The foreclosure sale of the 13-acre estate was initiated due to an unpaid loan by Promenade Trust, which manages the Graceland Museum. The public notice for the foreclosure sale, posted earlier in May, revealed that the trust owes $3.8M from a 2018 loan. Keough inherited ownership of Graceland and the trust following her mother Lisa Marie Presley's death last year. Naussany Investments and Private Lending alleged that Lisa Marie had used Graceland as collateral for this loan.
Fraud allegations led to withdrawal of foreclosure claims
Keough recently filed a lawsuit alleging that Naussany Investments presented fraudulent documents regarding the loan in September 2023. Her lawyer stated, "Lisa Maria Presley never borrowed money from Naussany Investments and never gave a deed of trust to Naussany Investments." Following these allegations, Naussany decided not to proceed with its claim due to complications with key documents and the loan's recording in different states. The company announced via email, "The company will be withdrawing all claims with prejudice."
The home is significant in Presley's legacy
Graceland now acts as a buzzy tourist destination and attracts Presley fans from all over the world. "Graceland will continue to operate as it has for the past 42 years, ensuring that Elvis fans from around the world can continue to have the best in class experience when visiting his iconic home," Elvis Presley Enterprises said in a statement. Presley passed away at Graceland in August 1977.
