When she needed money for personal and professional projects, famed photographer Annie Leibovitz did what many people do: She took out a loan.

Only this loan was for more than $24 million and she put up a decades' worth of her artwork, along with her Greenwich Village townhouses, as collateral to the Art Capital Group, a notorious lender int he art world.

Now, she's defaulted on the loan, leaving the future of her photographs and townhouses up in the air.

Leibovitz is famed for her ability to capture the focus and intent of her subjects through a lens. Up to this point, Leibovitz gained notoriety and fame from her trend-setting, and often times prolific, visages of contemporary stars and starlets.

Her iconic photographs include a pregnant Demi Moore for the cover of "Vanity Fair" and a nude John Lennon on the day of his death.

Leibovitz’s finances seem to have been in turmoil long before any recent press on the matter. In February 2009 Leibovitz borrowed $15.5 million. As collateral she put up not only her several houses, but the rights to all of her photographs.

Putting up the future rights to art is rare because the future value of such works could be priceless. As a recent article surrounding the same subject the New York Times noted:

"One of the world’s most successful photographers essentially pawned every snap of the shutter she had made or will make until the loans are paid off.”

In July 2009, in connection with the February loan, a breach of contract lawsuit against Leibovitz was filed in the amount of $24 million regarding the repayment of these loans with the plaintiff on record being the Art Capital Group Inc. Art Capital allows clients to discreetly get loans in using artwork as collateral.

Art Capital states, in part, that they feel “Leibovitz will be unable to satisfy their obligations on the maturity date - a point that was discussed and acknowledged by the parties at the outset of the restructuring.” This was back in June 2008 when Leibovitz first approached them regarding her financial needs.

Eventually securing the loan in September of the same year, Leibovitz soon after apparently withdrew $5 million of a $22 million credit line. Then in December when, according to Art Capital, an extension of the original credit line was given to Leibovitz, totaling the loan to $24 million at which point Art Capital then granted her the remaining $18.9 million.

What happens now? According to the sources close to the incident, Leibovitz must settle up the $24 million, plus unpaid interest and other fees, by Sept. 8. This being the major point behind the lawsuit filed by Art Capital since they strongly believe this can’t be done without sales of Leibovitz’s collateral: Her artworks, photography archives and real estate in Greenwich Village and Rhinebeck, New York.

Could filing bankrutpcy protect Leibovitz's art? It's unclear. Because the loans were tied to specific collateral, the loans may be considered secure and treated like a home loan. While bankruptcy does offer property protections, this is an unusually large loan with atypically high stakes.

Regardless, I'd guess she will explore every avenue possible to hang on to her life's work.