Re: AEG files their summary judgment motion asking to dismiss Katherine Jackson lawsuit
Randy Phillips and Paul Gongaware of AEG Live, who are being sued by Katherine Jackson, had a history of working with Michael Jackson in the past.
Paul Gongaware testified during Conrad Murray's trial that he was brought in during the HIStory tour, because the tour was losing money. It doesn't sound like Michael Jackson's partnership with the Saudi Arabian Prince was benefiting him. The reason why I say this, besides Paul Gongaware's testimony, is because of a lawsuit that Michael was in in 2002 with Myung Ho Lee. Myung Ho Lee 'Lee, who has an MBA from George Washington University and a law degree from the University of Chicago, handled business affairs that included arranging loans, setting up investment deals and advising Jackson on career matters starting in 1997.'
In 1998, Lee arranged a loan with Bank of America for Michael for $140 million, because Michael had gone through the $90 million where he sold 50% of his Beatles Catalog to Sony, which was in 1995.
Since both LA Gear and Pepsi had pulled their sponsorship with Michael because of the 1993 child molestation allegations brought on by the Chandler's, Michael had to sponsor business arrangements on his own and he was swiftly going through millions out of his own pocket, including paying employees for his albums and video's.
Randy Phillips testified during Murray's trial that he had worked with Michael on LA Gear.
AEG Live was doing their best to help Michael Jackson preparing his London dates, in 2009. Production costs were nearing $40 million and there was a meeting about this shortly before Michael died. Michael Bearden did an Interview where he talked about this meeting and Michael was talking to him about the Three Stooges.
So in my final analysis, both Paul Gongaware and Randy Phillips had worked with Michael in the past. Michael knew what the bottom line was about and when the London Concerts were in production, I thought AEG Live was fair with Michael.
I think that they were worried, including Kenny Ortega, if Michael was fit. This was not a hidden secret. Deadlines did have to be met and Michael knew this. He was a savvy business man. This is why AEG Live wanted to work with Michael because he was still loved by the world and knew he would sell tickets and boy did he. Michael Jackson beat out Prince's record of 21 nights in London. That was the old Michael always wanting to break records, especially Guinness World Records.
Michael was in good shape, he was fit. Did he become exhausted during production of the 02 Arena 50 sold out Shows, no doubt about it. It's the nature of the Industry coming up with a Show that is spectacular and Michael Jackson was nothing short of spectacular. Murray was negligent and that's the bottom line!
L.A. Gear's $20-Million Poster Boy September 24, 1989
One morning, Michael Jackson awoke and decided he was tired of wearing his black loafers.
That's the real story behind the eccentric pop superstar's $20 million contract with L.A. Gear, which is being billed as the largest corporate endorsement deal in show biz history.So far, media coverage has focused on Jackson's bizarre behavior at last week's press conference ("Protect me," he whispered to a top L.A. Gear exec. "Don't let them ask me any questions."), the fog 'n flood-light filled conference's price tag ($50,000) and Jackson's creative input into his new shoe (he'll help design the "Unstoppable" line of footwear).
But Jackson's L.A. Gear signing isn't a typical bottom-line corporate endorsement, said Randy Phillips, a prominent rock manager who served as one of the deal's key middlemen. The ball started rolling when RockBill's Jay Coleman got a phone call from Jackson's attorney, John Branca. Since RockBill is the industry's top corporate-sponsorship brokerage firm, this was no ordinary phone call.
"John said that Michael was thinking of wearing sneakers instead of his black loafers when he made his new videos for his upcoming greatest-hits album," said Phillips, who co-manages Rod Stewart and the Bangles. "It was obvious that the switch to sneakers was a pretty radical image change for Michael. So I told Jay not to go anywhere till I had a chance to talk to (L.A. Gear chairman) Robert Greenberg, who's a good friend."
Though L.A. Gear is one of America's fast-growing companies (its sales are expected to top $1 billion this year) it had been eager to establish a corporate link with a brand-name pop superstar as a weapon in its high-stakes battle with athletic-shoe rivals Nike and Reebok. With Jackson suddenly available, L.A. Gear sprang into action, sending Phillips and L.A. Gear exec Sandy Saemann to meet with Jackson while he was recording one of the three new songs that will appear on his hits collection.
"The L.A. Gear guys were desperate to get involved, no matter what the cost, with someone of Michael's stature," said Phillips, who said he received a "healthy" pre-negotiated fee for his role in the deal. "We spent two hours with him in the studio, showing him L.A. Gear ads and telling him about the shoe business. He was the opposite of what I expected--he was very warm and conversational, and asked very sharp questions about marketing and promotion."
After financial agreements were made, Jackson was also granted unprecedented involvement in the design of his L.A. Gear products. "He's really into it--he's going to be at the factory, with his sleeves rolled up, working on everything," says Phillips.
So why is the Gloved One, who after all, is being hired as a corporate spokesman, so shy about meeting the press that he fled the mike after mumbling for 10 seconds? "Michael may have only said two sentences, but he spoke more at our press conference than he did at Pepsi's press conference--or when he visited the White House, for that matter," said Phillips. "What's important is that he's enthusiastic about the product. He came to the press conference \o7 wearing \f7 L.A. Gear's hottest shoes. You didn't see him ever drinking a Pepsi at their press conference."Still, Jackson has complete freedom from any corporate interference in his work. When Pepsi came under fire from religious groups over Madonna's controversial video this spring, it backed out of its endorsement deal with the pop starlet. That won't happen with Jackson. "L.A. Gear has nothing to say about the songs or videos he makes," Phillips says. "We're prepared to live with anything he does."
Unlike Pepsi, which debuted its Madonna ad before her new single came out, L.A. Gear has no plans to release any Jackson commercials before his hits collection, which isn't due till spring of next year--at the earliest. "We're not going to scoop his album," Phillips says. "The spots we use, which will probably feature segments of his new songs and clips from his videos, will not air till after the album is released."
The bottom line remains: is an oddball pop star who has sworn off concert touring and who's creative peak may be at least five years behind him really worth the $20 million?
"Absolutely," insists Phillips. "L.A. Gear's stock has gone up almost 10 points since the day before the press conference. (On Wednesday, the firm's stock was at 73, up from 64 the day before the Jackson announcement) And you have to give Michael Jackson credit for a huge part of that swing. We think he's going to make a big difference."
http://articles.latimes.com/1989-09-24/entertainment/ca-218_1_press-conference
http://www.foxnews.com/story/0,2933,59544,00.html
errin:
