In the case brought by Allgood Entertainment against Frank Dileo, AEG, John Branca and John McClain, U.S. District Judge Harold Baer Jr. dismissed claims for fraud and tortuous interference with contract, but allowed a claim for breach of contract to proceed. In the $300 million lawsuit, AllGood claims it had a binding agreement with Michael’s management in which it would produce his first concert tour in years or a Jackson Family reunion concert featuring Michael, Janet and others. But after considering a document signed by Frank Dileo, Judge Baer said there was “sufficient factual ambiguity that it would not be appropriate to dismiss as matter of law at the pleading state.”
AllGood argued that the deal was not an “agreement to agree” but an enforceable contract. “While I am highly skeptical that this in fact amounts to a complete and enforceable agreement, any judgment about the meaning of this ambiguous agreement necessarily requires an inquiry into the actual facts and is better suited for a motion after discovery or a jury,” the judge concluded.