Justin Bieber has reached a financial settlement with his former manager, Scooter Braun, resolving outstanding debts related to the cancellation of his 2022 Justice World Tour. The tour was abruptly halted due to health concerns, leading to significant financial implications for both parties.
In 2022, Bieber received a $40 million advance from concert promoter AEG for the Justice World Tour. Following the tour's cancellation, AEG sought repayment of $26 million. Braun's company, Hybe, covered this amount on Bieber's behalf, with the understanding that Bieber would repay Hybe over a ten-year period. However, reports indicate that Bieber made only one payment before ceasing further repayments.
Additionally, Bieber owed Braun approximately $11 million in unpaid commissions. An independent audit conducted by PricewaterhouseCoopers (PwC) revealed that Bieber owed Braun an additional $8.6 million in unpaid commissions. Braun agreed to waive this amount, resulting in a total debt of around $31.5 million.
The settlement stipulates that Bieber will repay the $26 million debt to Hybe, along with half of the $11 million in unpaid commissions, totaling approximately $31.5 million. The repayment is contingent upon the completion of the sale of Bieber's wife, Hailey Bieber's, skincare brand, Rhode, to e.l.f. Beauty, valued at around $1 billion. Bieber is reportedly set to receive approximately $50 million from this sale, which is expected to cover the debt owed to Hybe.
This financial resolution marks the conclusion of a prolonged dispute between Bieber and Braun, stemming from the unforeseen cancellation of the Justice World Tour and subsequent financial obligations.