Money Rehab with Nicole Lapin - What Happens if Amber Heard Can’t Pay?

Episode Date: June 6, 2022

Last week, the highly anticipated verdict in the Johnny Depp vs. Amber Heard case was revealed. Nicole shares how much Heard was ordered to pay Depp, and what happens if she can't afford it. 

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Well, it doesn't. Charge for wasting our time. I will take a check. Like an old school check. You recognize her from anchoring on CNN, CNBC, and Bloomberg. The only financial expert you don't need a dictionary to understand. Nicole Lappin. On Wednesday, the highly, highly, highly anticipated verdict came down in the Amber Heard-Johnny Depp trial.

The jury found that both parties, Amber Heard and Johnny Depp, were guilty of defaming each other. But by following the money trail, it is clear that the jury felt Heard's actions were more damaging to Depp than the other way around. Initially, Depp was awarded $15 million, but the judge reduced that to $10.35 million. Amber Heard was awarded $2 million in damages, less than one-fifth of what Johnny got. Now, Depp's case had sought $50 million in damages, and $10.35 million is not $50 million, but it's still a lot of money. Not many people have $10.35 million just lying around. But the big question is, does Amber Heard?

This got me thinking, what happens legally if Amber Heard can't pay? This is not an unlikely scenario. I've reported on some clues that Heard has hit some financial speed bumps. I mentioned that in my episode on this case, but if you missed it, here's a refresher. When Amber Heard and Johnny Depp settled their divorce, Depp was ordered to pay Amber Heard $7 million. Heard stated that she would donate the money from the settlement to the division of the ACLU that combats violence against women and the Children's Hospital of Los Angeles. However, the ACLU made an official statement saying that that did not happen. made an official statement saying that that did not happen. The ACLU was expecting $3.5 million from Amber, but to date, they've received about half of that. An official from the ACLU said that

they reached out to Amber in 2019 to ask about the next installment of her giving, and she reported that she was having financial difficulties. The question of Amber Heard's financial means is no longer speculative, though. Her attorney straight up told People magazine that she could not pay the judgment payment. And by the way, judgment payment is the proper term for the sum of money a defendant has to pay. Doesn't that term just sound as scary as it is? Anyway, Amber's attorney also mentioned that she paid more than $6 million in legal costs. That's almost the entire amount that she was awarded in the divorce. So we know in no uncertain terms that Amber Heard can't pay the judgment payment. So what does that mean for her? Typically, if someone has debt that they cannot pay, they'll consider bankruptcy.

We know this from Money Rehab episode 28, Confessions of a Bankruptcy Lawyer. This is an oversimplification of that conversation, but in that episode, we learn that in some cases, when someone has a debt they cannot pay, bankruptcy is a good option because it allows that person to absolve themselves of the debt and have a clean, debt-free slate. However, one type of debt that cannot be washed away with bankruptcy is debt for, and I'm quoting here, willful and malicious injury by the debtor to another entity. According to legal analyst Emily Baker, the willful element of defamation that had to be found because they're celebrities takes it out of the possibility of bankruptcy because it was a willful act.

In other words, if Amber Heard files for bankruptcy, she's still required to pay that debt. So with bankruptcy ruled out, what are her other options? Well, there are two major ones. First, she could negotiate the payment like a good money rehabber. There is an opportunity for Amber and Johnny to come to some sort of settlement that's feasible for Amber. She could say something like, and I'm totally making this up, by the way, but she could say something like, I can't pay you $10.35 million, but I can pay you $2 million right now and then another million dollars over the course of five years. Here's a list of my assets and my upcoming jobs.

Her other option would be to appeal the judgment. In other words, to try to get the jury's decision overturned. That is what Amber's lawyer says they're working on right now. But I do wonder how much more this appeal is going to cost her. If she's already spent six million bucks on legal fees, it sounds like she could actually end up shelling out the ten million dollars she doesn't have, but to her lawyer, and that's before her debt with Depp is settled. And what if the appeal fails or Johnny is unwilling to negotiate? Well, in that case, Johnny has the right to get the money from her by seizing her property and getting a court to legally withhold her future wages

and essentially reroute them to Johnny Depp's bank account. But I don't see him necessarily getting that aggressive. First and foremost, he did say that this was a case about his reputation, not the money. If he meant that when he said it, he's already gotten what he wanted, and he may not feel the need to enforce the sentence. But more than that, I think the actual reason he will not actively pursue settling the debt is that it will make him look bad. While, yes, Deb can say that he got what he wanted in the court of law, it's not totally clear if he got what he wanted in the court of public opinion.

Many news organizations have made the distinction that even though Johnny got the verdict he wanted, he didn't necessarily clear his name. After all, he was found guilty of defaming Amber Heard, and a lot of wild, weird, negative shit came out about him too. Plus, while the internet was certainly Team Johnny, not everyone was. There are still some people that contend he is an abuser, and if he's willing to win back his reputation, driving his ex-wife into homelessness probably is not going to achieve the desired result. Not to mention that there are still Amber's outstanding payments to the ACLU,

and the more she spends on her debt to Johnny, the longer it will take for her to make good on her promise to the ACLU. I am confident that Johnny Depp does not want to be publicized that he is getting the money that was promised to an organization that deals with domestic abuse. So my prediction is that Depp won't pursue the full payment because it would look bad for him. And this whole lawsuit was about not looking bad anymore. But the story isn't over. As I'm reporting this, Amber Heard is putting together an appeal with her lawyer. And when there are more updates, you better believe we're going to be following that money trail and you'll get them

right here on Money Rehab. For today's tip, you can take straight to the bank. Sometimes stars are just like us, and they need Money Rehab too. Money Rehab is a production of iHeartRadio. I'm your host, Nicole Lappin. Our producers are Morgan Lavoie and Mike Costarelli. Executive producers are Nikki Etor and Will Pearson. Our mascots are Penny and Mimsy. Huge thanks to OG Money Rehab team, Michelle Lanz for her development work, Catherine Law for her production and writing magic, and Brandon Dickert for his editing, engineering, and sound design. And as always, thanks to you for finally investing in yourself so that you can get it together and get it all.