Michael Jackson verdict could shake up entertainment business model (3)

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PERFORMANCE-BASED PAY

One change Piazza foresees in the industry's business model would be in how producers would start coupling an entertainer's pay together with fulfilling their contract.

"I think the big impact this trial will have is lessening those gigantic, multi-million dollar up-front payments and shifting the model towards a more back-end, profit-sharing model because then it would put the responsibility more on the talent to perform," she said. "They'll be making the money based on their performance."

But attorney Jerry Reisman believes that the financial pressure for companies like AEG Live is too significant for a substantial change in how they operate or control artists.

"It's very, very important that AEG knew they had to meet that tour deadline," Reisman said. "Now, whether or not they knew what this doctor was prescribing, whether or not they authorized it, those are all questions for the jury."

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