Cases

Celador Internat., Inc. v. American Broadcasting Cos., Inc. (9th Cir. 2012) 499 Fed.Appx. 721

GMSR’s client Celador International licensed its mega-hit game show Who Wants To Be A Millionaire to ABC and a subsidiary in exchange for half of the profits. When ABC and the subsidiary reported that there were no profits despite the show’s runaway success, Celador sued for breach of the licensing agreement. A federal jury agreed that defendants had breached the express terms of the agreement and the implied covenant of good faith and fair dealing, and awarded $269 million in damages (plus an additional $50 million in stipulated prejudgment interest). The Ninth Circuit affirmed. Rejecting defendants’ smorgasbord of claimed errors, it held that the district court properly allowed the jury to determine the meaning of the licensing agreement, that the trial court did not commit any reversible evidentiary or instructional error, and that the record supported the jury’s award of $269 million in damages.

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