Printed from BusinessInsurance.com

Firm barred from seeking damages in singer's death

Posted On: Jan. 16, 2005 12:00 AM CST

NEW YORK-Rhythm and blues singer Aaliyah was not a "property asset" of her record company and the company cannot not seek compensation in connection with her death as a result of a 2001 plane crash, a New York appellate court ruled.

In Barry & Sons Inc. vs. Instinct Productions L.L.C., a panel of the New York Supreme Court's appellate division unanimously ruled that the record company was in effect pursuing wrongful death benefits, which only family members can receive.

The appeals court overturned a lower court ruling that Aaliyah was the record company's "property asset," not an employee, and that, therefore, the company could proceed with its suit.

Aaliyah, who was 22 when she died, was killed along with eight others when their plane crashed in the Bahamas, where she had gone to film a video produced by Northridge, Calif.-based Instinct Productions L.L.C. According to press reports, the plane was overloaded and cocaine and alcohol were later found in the pilot's body.

New York-based Barry & Sons, which did business as Blackground Records, was formed by Aaliyah's uncle, Barry Hankerson, in 1992 to develop, promote and capitalize on her musical talent, according to court papers. The singer owned a 10% stake in the company. In 2001, Blackground Records entered into a contract with Instinct to produce a music video titled "Rock the Boat." Instinct chartered the plane that crashed.

After her death, Aaliyah's parents filed suit against Instinct and several other parties and reached an undisclosed settlement in 2003, according to the Jan. 6 decision. Blackground Records filed suit three months later, charging that the singer's death was the result of Instinct's negligence in failing to arrange safe transportation.

New York law says a wrongful death action can be brought only by a "personal representative" of the deceased, not a company, according to the appeals court opinion. Blackground "is simply seeking damages for her alleged wrongful death in contravention of the statute," according to the opinion, which also said that the lower court judge who permitted the suit to proceed ignored "well-settled law."

In settling their suit, Aaliyah's parents "have been compensated for the damages resulting from her death," the opinion says. "Permitting Blackground's claim would expose Instinct to the risk of paying the same damages a second time. And, if Blackground is allowed to recover for the wrongful death of Aaliyah, what is to prevent others who anticipated profits from the talents of Aaliyah from bringing a negligence action on account of her death?" the opinion stated.

"Allowing tangentially injured parties to bring wrongful death actions would...lead to a proliferation of litigation and, to the detriment of the decedent's survivors, create unlimited liability for entities sought to be held liable for wrongful death," the court said.

Furthermore, "The concept that a person is a property asset of another is, of course, abhorrent to modern day thinking. Courts almost universally reject the antiquated proprietary view of the master/servant relationship."

Instinct's attorney, David H. Fromm, of Brown Gavalas & Fromm L.L.P. in New York, said the Blackground lawsuit was akin to suing the person responsible for the accidental death of "the guy who provides copying services" because his replacement charges more. A ruling in Blackground's favor would have permitted such lawsuits to proceed "no matter how remotely affected" the plaintiff is, and ultimately take money away from those who have the right to recover, said Mr. Fromm.

Barry & Sons Inc., doing business as Blackground Records, vs. Instinct Productions L.L.C., Brent Coert et al.; Appellate Division, First Department, 2005 NY Slip Op 000-96.