According to some family members, Prince, 16, has been keeping late hours and ignoring the requests of his grandmother and guardian, Katherine, reported New York Post.
The youngster has a monthly allowance of USD 66,000.
"He's a renegade kid. No holds barred. He's up and out at all times of the night, and I'm concerned, and I think everyone around the situation has to be worried what could happen to this kid," Post said quoting a family source.
Prince often exits the mansion without security and is regularly spotted by paparazzi with girlfriend and schoolmate Remi Alfalah, 17, a princess from a royal Kuwaiti family, the source claimed. Prince and siblings Paris and Blanket are heirs to Michael Jackson's fortune, estimated at more than USD 1 billion.
Prince is reportedly also keen to marry his girlfriend Remi just to get away from his relatives. The two first met two years ago at the private Buckley School in Sherman Oaks, California.
"He says he has his own money and he can take care of himself. Someone needs to act fast before this thing becomes more of a nightmare," the family source added. Jackson went out of his way to keep his children out of media glare even making them wear a mask.
But, media focus has increased since his death in 2009. His daughter Paris, 15, is recovering after a suicide attempt in June this year. The children have also been at the centre of a fight between Jackson's siblings and his estate over the singer's will, which leaves everything to his kids.