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Edition: U.S. Article Save Email Print Reprints Most Popular Most Shared After stoic showing in Congress, Toyoda breaks into tears 12:24am EST Tearful Toyoda apologizes; Japan hopes for recovery | Video 12:32am EST WRAPUP 1-Tearful Toyoda apologises; Japan hopes for recovery 24 Feb 2010 Orca kills trainer at Florida's SeaWorld | Video 12:11am EST UPDATE 1-Whale kills trainer at Florida's SeaWorld 24 Feb 2010 Castro regrets Cuba prisoner death, blames U.S. 24 Feb 2010 Bolivia plans bigger paycheck for punctual workers 24 Feb 2010 Brains or beauty? Women still conflicted 24 Mar 2009 Are non-smokers smarter than smokers? 23 Feb 2010 Turkish leaders to meet as coup plot storm gathers 24 Feb 2010 Sheen rehab could prove costly as show shuts down Matthew Belloni and Eriq Gardner Thu Feb 25, 2010 12:40am EST Related News UPDATE 2-TV star Charlie Sheen follows wife on rehab road Tue, Feb 23 2010 Sheen charged with assaulting wife; they hug in court Mon, Feb 8 2010 Actor Charlie Sheen charged with assaulting wife Mon, Feb 8 2010 Actor Charlie Sheen's stolen car plunges down hill Fri, Feb 5 2010 Actors Charlie Sheen (L), Jon Cryer (C) and Angus T. Jones celebrate backstage after winning the award for Favorite TV Comedy for ''Two and a Half Men'' at the 35th annual People's Choice awards in Los Angeles January 7, 2009. Credit: Reuters/Phil McCarten LOS ANGELES (Hollywood Reporter) - The future of CBS' "Two and Half Men" has become Topic A in Hollywood since production on the series was put on hold Tuesday after star Charlie Sheen checked himself into rehab. Entertainment | Television | People | Media Attention is focusing on Sheen-related contracts for the show. Two important deal provisions -- the "morals clause" in Sheen's contract with producer Warner Bros. TV and the "key man" language in the show's insurance policy -- might be driving forces behind what happens next. As TV's top-rated comedy, "Men" is a cash cow, so CBS and WBTV have an incentive to keep the show going as long as possible. But Sheen, who also faces charges stemming from a Christmas Day arrest for assault in Aspen, Colo., might not return as quickly as the net and production company would like. Which raises the question: Who's responsible for any financial hit from Sheen's absence? WBTV and CBS declined to comment on Sheen's deal. But legal specialists offered their informed speculation. Here are some predictions for how this might play out. First the morals clause: Sheen likely has some kind of morals clause in his contract. Standard language allows employers to alter or terminate an employee's deal for bad behavior that harms the production. It would take a prolonged absence for TV's No. 1 star to get fired, but morals clauses often include liquidated damages provisions, meaning a star can be responsible for losses incurred due to his unruliness. Sheen reportedly earns more than $900,000 per episode, making him the highest-paid actor on TV. If he violated his morals clause, the show's producers might go after him to recoup some of the money it loses when he's away. "If the conduct is considered a material breach" of his deal, says Aaron Moss, a litigator at Greenberg Glusker, "then the network may be able to file a lawsuit for breach of contract." Sheen checked himself into rehab in 1990 and eight years later was hospitalized after "consuming excessive amounts of drugs and alcohol." But notably, when he went to rehab Tuesday, his press statement did not specifically mention alcohol or drugs. This could be a signal of what's in his morals clause, meaning his reps might be trying to avoid any possible trigger. Now the "key man" language: Film and TV productions routinely buy insurance to protect against the unexpected. As part of that coverage, a "key man" provision would spell out what happens if someone instrumental to the production -- like, say, the star -- is not available due to some unforeseen event. Risk allocation is always subject to conditions and exclusions, and cast coverage typically requires medical disclosures. "I would expect any policy for a show to have certain exclusions raising known issues," says Mary Craig Calkins, an insurance recovery specialist at Howrey in L.A. "Certain lifestyle choices might be in that contract." Sheen's past drug and alcohol issues were certainly known. "The insurance company reps read the papers just like everyone else," says Calkins. "I would expect some aspect of this risk would have been written into coverage and the production agreement as well." Sharon Gold at Troy Gould agrees that any insurance carrier covering the show would have "insisted upon protections." In other words, an insurance policy might not cover Charlie Sheen going to rehab again, potentially leaving WBTV and/or CBS on the hook for losses incurred while the show is dark. Something else to consider: Producers are spending a fortune paying Sheen for his services. Some lawyers believe this ordeal could be a good excuse to reopen contract negotiations with him. Risky? Of course. But WBTV and CBS could potentially shave tens of millions of dollars off the cost of the series if they were to wave this over Sheen's head. 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Full Article Slideshow: Best of day tweleve Canada sends Russians packing Queen's only wish, a king-sized bed 2010 winter olympics © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Analyst Research Mobile Newsletters RSS Podcasts Widgets Your View Labs Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts.com Buyouts Europe: Buyouts Conferences: Venture Capital Journal EVCJ International Financing Review International Securitisation Report Project Finance International PEhub.com PE Week Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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