JPMorgan ordered to keep paying Charlie Javice’s legal bills, topping $70M
JPMorgan Chase has been ordered to continue paying the legal bills of convicted fraudster Charlie Javice. A Delaware judge has rejected JPMorgan’s attempt to halt the “astronomical” defense costs that have exceeded $70 million.
The judge stated that JPMorgan failed to prove that Javice’s legal fees were unreasonably high or abusive due to bad faith.
JPMorgan is required to advance around $10.1 million in disputed legal fees incurred by Javice between January and September 2025.
Last month, the Wall Street Journal reported that Javice is seeking a presidential pardon following her conviction for defrauding JPMorgan. Javice founded a college financial-aid startup called Frank, for which JPMorgan paid $175 million.
JPMorgan also tried to stop paying the legal fees of former Frank chief growth officer Olivier Amar, who was sentenced to 68 months in prison alongside Javice.
The judge ruled that JPMorgan must continue advancing approximately $11.3 million in Amar’s disputed legal fees for a similar period.
JPMorgan’s total legal costs now exceed $70 million for Javice and over $136 million for both Javice and Amar.
JPMorgan argued that the costs had escalated uncontrollably and sought to end its obligation to fund Javice’s defense.
JPMorgan objected to various charges in Javice’s legal bills, including expenses for gummy bears, first-class airfare, expensive dinners, luxury hotel upgrades, and more.
Javice’s spokesperson denied that she approved these expenses and stated they were attorney expenses used by the bank to divert attention from its obligation to fund her legal fees.
JPMorgan’s spokesperson, Pablo Rodriguez, expressed disagreement with the Delaware ruling and mentioned considering next steps.
Federal prosecutors accused Javice of falsely claiming data on millions of students through Frank, leading to a $175 million sale to JPMorgan. She received an 85-month prison sentence and is appealing her conviction and sentence.
JPMorgan has been covering Javice’s legal bills since June 2023 under a prior court order.
The Delaware dispute revolves around advancement rights rather than indemnification entitlement.
Under Delaware corporate law and merger agreements, JPMorgan is obligated to cover legal expenses until disputes over the bills are resolved.
The judge concluded that the invoices did not show bad faith and upheld JPMorgan’s advancement obligations despite Javice’s criminal conviction.
The Post has reached out to Javice for comment.
