The estate of DJ AM has filed a lawsuit against a Hollywood company for more that $1 million.
It claims inappropriate use of the DJ's name and likeness in advertising and misappropriating funds to avoid payments to the late artist.
DJ AM entered into a contract in 2005 which granted a limited, non-exclusive license to use his name for the use of promoting LA hotspot Club LAX.
DJ AM’s mother - the administrator for The Estate - alleges that after an initial payment DJ AM received periodic payments for about 18 months. As a result of the DJ's presence at LAX, the club became a popular night life hotspot for many of Hollwood’s young and famous.
After DJ AM's death, owner of LAX, Loyal Pennings, began operating his premises under a new name, Las Palmas. The estate alleges Mr Pennings breached obligations by misappropriating his assets and by attempting to confuse ownership interests.
The estate is suing for breach of contract, breach of fiduciary duty, misappropriation of likeness and unfair business damages. The suit claims damages in excess of USD $1 million.
Another lawsuit was recently settled against the companies related to his plane crash in 2008 which killed 4 others, including the assistant of Blink 182 drummer Travis Barker. The estate argued that the plane crash was the direct cause of DJ AM slipping back into drug addiction to drugs, which ultimately led to his death in 2009.