I tried all the other fixes for the black-screen error, unfortunately they failed.
Anyway here is way I solved the problem.
1) Boot live disk normally.
> Wait till the screen to decide which mode to boot (forensic, safe etc).
2) Press the TAB key. (This opens the grub options for the live boot)
3) Change the section with "text splash vga=791" to "text splash vga=791 i915.modeset=1".
4) Press the ENTER key.
5) Wait, type startx as usual.
6) Enjoy the live cd.
Pros599's post is for a already installed machine, I recognized the similarities. So cheers to him, if this works for you thank him.
I have NVidia GT520M for reference. Currently doing a full install. Lets hope it works... *doubts*