Is Graceland in foreclosure? What to know about Riley Keough's lawsuit to prevent Elvis' house sale

Graceland, the famed Memphis estate of Elvis Presley, is facing the possibility of a public auction after a foreclosure notice was posted in early May.

That public auction was scheduled for Thursday, but has been put on hold after a temporary restraining order was granted. Riley Keough, who inherited the estate and tourist attraction after the death of Elvis' only child, Lisa Marie Presley, has filed a lawsuit to stop the sale.

The rock 'n' roll legend and numerous members of his family, including Lisa Marie and his parents, are buried in the home's Meditation Garden.

Here's what to know about the potential auction.

Why is Graceland under foreclosure?

On May 5, an investing and lending company called Naussany Investments and Private Lending LLC posted a notice of foreclosure sale.

The notice said Lisa Marie Presley, Elvis' daughter who died in January 2023, owed $3.8 million after failing to pay back a loan on May 16, 2018. The loan, the notice alleged, was taken out by Promenade Trust, which controls the Graceland estate.

Graceland was used as collateral in the loan, Naussany Investments and Private Lending said.

Keough, Lisa Marie Presley's daughter, inherited Promenade Trust after her mother's death.

Elvis' Graceland faces auction: Granddaughter Riley Keough sues to block sale

Will Graceland be sold at auction?

A public auction for Graceland, located at 3734 Elvis Presley Blvd., was set for May 23. That auction was placed on hold following a Shelby County Chancery Court judge granting a temporary restraining order.

After learning of the foreclosure notice, Keough's attorneys filed a lawsuit claiming the documents from Naussany Investments and Private Lending were fake.

"These documents are fraudulent," the lawsuit alleged. "Lisa Marie Presley never borrowed money from Naussany Investments and never gave a deed of trust to Naussany Investments."

In filing that lawsuit, a temporary restraining order was granted, and an injunction hearing was scheduled for May 22.

If the injunction is granted, it would place an indefinite hold on the auction until the case is resolved.

If the judge finds that the documents are fake, the auction will not be hosted.

What is in the lawsuit to retain Graceland?

The lawsuit to keep Graceland requested three legal issues be granted, and two damages clauses.

The first, which Shelby County Chancellor Joedae Jenkins granted shortly after the lawsuit was filed May 15, asked for a temporary restraining order.

Second, the lawsuit requests a permanent injunction hearing, and that the injunction be entered.

Third, it requests that a judge declare the deed of trust that Naussany Investments and Private Lending claims to have fraudulent.

Elvis Presley's Graceland, a tourist destination

Graceland was Elvis Presley's home in Memphis and where he died in 1977.

After his death, Graceland opened for tours in 1982. Tours of the home have continued for decades, and it has become a popular destination for people visiting Memphis.

In 1999, a nearby hotel was purchased, renovated and renamed the Heartbreak Hotel. That hotel was closed in 2016, and replaced with a 450-room resort hotel. It has since been renamed to The Guest House at Graceland.

Since opening to the public, millions of people have visited Graceland. It touts over 500,000 visitors each year on the Graceland website.

The historical site also hosts a number of events, and was the venue for Lisa Marie Presley's funeral in January 2023.

Who is Naussany Investments and Private Lending?

Naussany Investments and Private Lending in Missouri seems to have no public-facing platform. No website, nor social media could be found at the time of publication.

The lawsuit filed by Keough described Naussany Investments and Private Lending LLC as "not a real entity."

"Naussany Investments & Private Lending LLC appears to be a false entity created for the purpose of defrauding the Promenade Trust, the heirs of Lisa Marie Presley, or any purchaser of Graceland at a non-judicial sale," the lawsuit read. "Naussany Investments & Private Lending LLC is named as a defendant because it asserts the right to conduct a non-judicial sale. It is named in case it is a real entity formed by some jurisdiction."

Who is Riley Keough?

Riley Keough is the daughter of Lisa Marie Presley. She is the oldest grandchild of Elvis Presley, and is an actress.

She played Diane Nixon in "The Good Doctor," a 2012 drama and thriller that released to mixed reviews. She has gone on to have roles in a number of movies, including 2017's "Logan Lucky," 2020's "Zola" and "The Devil All the Time," and prestige TV, including miniseries "Daisy Jones & the Six" and the recent series "Under the Bridge," and she opened production company Felix Culpa.

Contributing: Kim Willis, USA TODAY

This article originally appeared on Memphis Commercial Appeal: Elvis Presley Graceland foreclosure: Is Graceland for sale?