Landon v. Twentieth Century-Fox Film Corp.
384 F. Supp. 450 (1974)
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Rule of Law:
A broad contractual grant of 'motion picture rights' to a literary work includes the right to produce derivative works for exhibition on television, as the burden falls on the grantor to negotiate and frame any specific exceptions or reservations.
Facts:
- In 1944, author Margaret Landon entered into an agreement with Twentieth Century-Fox Film Corporation (Fox) concerning her book 'Anna and the King of Siam.'
- The agreement granted Fox the 'sole and exclusive motion picture rights' and the right to make 'new versions, adaptations and sequels.'
- The contract also explicitly granted Fox the right to broadcast on television 'any of the motion picture versions' it produced.
- The agreement specifically reserved for Landon the right to broadcast the literary property 'direct from living actors' on television, but restricted her from exercising this right for a set period.
- In 1972, Fox produced a weekly television series titled 'Anna and the King,' which was broadcast on the CBS Television network.
- The television series credits stated that the show was 'based on' Landon's literary property.
Procedural Posture:
- Margaret Landon filed suit against Twentieth Century-Fox Film Corporation and CBS in the United States District Court for the Southern District of New York (a federal trial court).
- Landon's complaint alleged copyright infringement, an illegal tying arrangement in violation of the Sherman Act, lack of consideration, and various torts.
- Landon moved for summary judgment on her copyright infringement claim only.
- The defendants moved for summary judgment on all claims against them.
- Defendants also moved to amend their answer to add the statute of limitations as a defense to the antitrust claim.
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Issue:
Does the production and broadcast of a weekly television series by Twentieth Century-Fox Film Corporation infringe upon Margaret Landon's copyright, where the 1944 agreement granted Fox the 'sole and exclusive motion picture rights' to her book?
Opinions:
Majority - Lasker, District Judge.
No, the production of the television series does not infringe Landon's copyright because the broad grant of rights in the 1944 agreement encompasses the right to create and exhibit a television series. The grant clauses are drafted broadly, ceding the rights to make unlimited 'motion picture versions,' 'adaptations,' and 'sequels' without restriction on the place of exhibition. The court's reasoning follows the precedent set in Bartsch v. Metro-Goldwyn-Mayer, Inc., which holds that if the words of a grant are broad enough to cover a new use, the burden is on the grantor to negotiate an explicit exception. The fact that the parties specifically reserved Landon's right to produce 'live' television shows strongly implies that all other television rights, including filmed series, were transferred to Fox. The explicit grant of the right to make 'sequels' further distinguishes this case from others where such rights were not granted, reinforcing the conclusion that Fox's television series was within the scope of the agreement.
Analysis:
This case reinforces the rule of contract interpretation from Bartsch v. Metro-Goldwyn-Mayer, which favors licensees in disputes over new technological uses not explicitly detailed in older copyright grants. The decision solidifies the principle that a broad grant of rights will be construed expansively, and the creator (grantor) bears the burden of explicitly reserving any rights they wish to retain. This provides legal certainty for film studios and other licensees when exploiting creative works across evolving media platforms, but serves as a crucial warning to authors and their agents about the importance of precise, forward-thinking contract drafting to protect future rights.
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