Michael Jackson verdict could shake up entertainment business model

Agencies | Updated: 2013-09-28 10:26

PROFITS AND RISKS

In the suit, Jackson's family alleges that privately held AEG Live, one of the world's top concert promoters, negligently hired cardiologist Conrad Murray as Jackson's personal physician and ignored signs that the singer was in poor health.

The "Thriller" singer died in 2009 in Los Angeles at age 50 from an overdose of surgical anesthetic propofol.

Murray, who was caring for Jackson as the singer rehearsed for his series of 50 comeback "This Is It" concerts, was convicted of involuntary manslaughter in 2011 for administering the propofol that killed the star.

"It's the kind of case that every entertainment lawyer is paying attention to because everybody in the entertainment industry has assistants and sometimes that entails medical attention as well," said John Nockleby, a professor at Loyola Law School in Los Angeles.

AEG Live has argued that Jackson had prescription drug and addiction problems for years before entering into any agreement with the company.

It also has said that it did not hire or supervise Murray and could not have foreseen that the physician would have posed a danger to the singer.

"They (AEG Live) chose to run the risk and make a huge profit," Jackson family attorney Brian Panish said this week in closing arguments.

"The industry is watching and waiting and seeing very much how this plays out," said Jody Armour, a law professor at the University of Southern California who specializes in personal injury claims.

"It could have a deterrent effect on corporations going forward, and how much and how aggressively they push entertainers to meet their contractual obligations," he added.