LA Superior Court Judge Mitchell Beckloff said he is "very pleased" with the findings of a report that documents how the kids are faring under their grandmother's care and following their father's June death, according to the New York Daily News.
"It looks like the children are really doing wonderfully with their grandmother guardian," Beckloff said during a Friday hearing.
Grandmother Katherine Jackson was granted custody of her son's three children -- Prince Michael 12, Paris, 11 and Prince II, 7 -- shortly after the King of Pop died.
The judge appointed the grandmother as the kids' guardian in August and asked he be briefed on their condition. Jackson receives $60,000 from her son's estate to help care for the children.
Jackson indicated in his 2002 will that he wanted his mother to take care of his children in the event of his death.