Halloran v. Ohlmeyer Communications Co.

618 F. Supp. 1214, 1985 U.S. Dist. LEXIS 15526
CourtDistrict Court, S.D. New York
DecidedSeptember 27, 1985
Docket84 Civ. 5003(WCC)
StatusPublished
Cited by11 cases

This text of 618 F. Supp. 1214 (Halloran v. Ohlmeyer Communications Co.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Halloran v. Ohlmeyer Communications Co., 618 F. Supp. 1214, 1985 U.S. Dist. LEXIS 15526 (S.D.N.Y. 1985).

Opinion

OPINION AND ORDER

WILLIAM C. CONNER, District Judge.

Plaintiff Bob Halloran (“Halloran”) commenced this action against defendants Donald W. Ohlmeyer, Jr. (“Ohlmeyer”) and Ohlmeyer Communications Company (“OCC”) seeking damages for breach of an alleged oral joint venture agreement to produce a televised golf program. The Court has subject matter jurisdiction of this action based upon the diversity of citizenship of the parties. 28 U.S.C. § 1332 (1982). Defendants Ohlmeyer and OCC have moved for summary judgment pursuant to Rule 56(b) of the Federal Rules of Civil Procedure (“Fed.R.Civ.P.”). For the reasons stated below, defendants’ motion is denied.

Background

Plaintiff Halloran is vice president of sports and special events for Caesar’s World, Inc., and has been involved in sports *1216 broadcasting for more than two decades. Affidavit of Bob Halloran in Opposition to Defendants’ Motion for Summary Judgment ¶ 3 [hereinafter cited as “Halloran Aff.”]. Defendant Ohlmeyer is president of defendant OCC, and has been involved in the production and direction of televised sporting events for many years. Affidavit of Donald W. Ohlmeyer, Jr. in Support of Defendants' Motion for Summary Judgment ¶¶ 1, 2 [hereinafter cited as “Ohlmeyer Aff.”]. Almost all of the remaining facts are in dispute.

Plaintiffs Version of the Facts

Halloran’s version of the relevant facts is as follows: He avers that in June 1982 he approached Ohlmeyer to discuss the possibility of producing a television program based on the golf game “skins.” 1 Deposition of Bob Halloran at 21 [hereinafter cited as “Halloran Dep.”]. He alleges that during the course of the discussion, he and Ohlmeyer entered into an oral joint venture agreement to produce a “Skins” program and sell it to a television network. Hallo-ran Aff. UK 8-11.

According to Halloran, the parties agreed that “each ... would have total involvement in and equal control over the project, with the understanding that each would defer to the other’s special expertise.” Id. ¶11. Halloran was to approach potential participants and to develop the show format. Id. 1110. Ohlmeyer was to concentrate on interesting a network in purchasing the program. Id. They were to share equally in the profits from the show. Id. ¶11.

Halloran says that after his meeting with Ohlmeyer, he renewed his earlier contacts with Jack Nicklaus and Tom Watson, two well-known professional golfers, to attempt to secure their participation in a Skins program. Id. 1112. In January 1983, Halloran met with Nicklaus in Palm Springs, California, and Halloran alleges that Nicklaus agreed, subject to certain conditions, to participate in the Skins telecast. Id. II13. Halloran states that he informed Nicklaus of Ohlmeyer’s involvement for the first time at this meeting. Id.

Later in January 1983, Halloran met with Ohlmeyer “to discuss [their] strategy in light of Nicklaus’ acceptance.” Id. 1114. Halloran avers that Ohlmeyer indicated that Nicklaus’s commitment would facilitate the sale of Skins to a network, and that Ohlmeyer agreed to approach NBC. Id.

Halloran claims that he tried unsuccessfully to reach Ohlmeyer for several months. The two next met sometime in May 1983. Halloran contends that it was at this meeting that Ohlmeyer first told him that there were difficulties licensing Skins to a network. Id. 1116. Ohlmeyer informed him that because none of the networks was interested in Skins, Ohlmeyer had brought Barry Frank (“Frank”) of Trans World Industries (“TWI”) into the Skins project as a third partner. Id. Ohlmeyer proposed that they purchase the necessary air time from NBC and produce the Skins program independently. Id.

Halloran states that Ohlmeyer gave him two alternatives: Halloran could either underwrite one-third of the potential two-million-dollar loss from the independent production of Skins or sell his interest in Skins and remain a salaried consultant. Id. 1117. Halloran stated that neither of these alternatives was satisfactory, and when Ohlmeyer refused to reconsider, he instituted this action. Id. ¶ 18.

Defendants’ Version of the Facts

Ohlmeyer’s version of the parties’ relationship is somewhat different, to say the least. He claims that he first met with Halloran in November 1982. Deposition of Donald W. Ohlmeyer, Jr. at 25 [hereinafter cited as “Ohlmeyer Dep.”]. According to Ohlmeyer, all of their discussions concerning the possibility of televising Skins were preliminary. Ohlmeyer Aff. 116. He maintains that “[t]here was no discussion of *1217 promotion, production, sharing of revenues or expenses, advertising, or many of the other issues critical to the production of a sports telecast.” Id. If 7. He avers that at no time did they reach an agreement or form a partnership. Id. He says that they did agree that Ohlmeyer would approach the networks to “ascertain the viability of a license deal for ‘Skins,’ ” and that both Halloran and Ohlmeyer would contact potential participants. Id.

Ohlmeyer contends that after his meeting with Halloran, he contacted ABC and NBC, but neither network was interested in buying Skins. Id. 118. Ohlmeyer maintains that he informed Halloran by phone that the networks were not interested in licensing Skins and told him that the only way to proceed with the project was to buy the air time, sell the advertising, and underwrite the total cost of the production. Id. ¶ 9. Ohlmeyer alleges that Halloran refused “in clear and unambiguous terms” “to take any financial risks.” Id. 1f 10.

Ohlmeyer then approached Barry Frank, president of TWI, about participating in the Skins production. Id. Ohlmeyer informed Frank that, based on Ohlmeyer’s prior discussions with Halloran, Halloran would be offered an opportunity to participate. Id. Frank expressed interest in the project. Id.

Ohlmeyer says that he then informed Halloran of TWI’s participation and again offered Halloran the opportunity to participate. Id. 1111. According to Ohlmeyer, Halloran again refused to underwrite any of the potential two-million-dollar loss on Skins. Id. Accordingly, Ohlmeyer offered Halloran the option of acting as a salaried consultant on Skins. Id. Ohlmeyer alleges that he and Halloran referred the matter to their respective attorneys, but that negotiations broke down when Halloran insisted on a percentage of the profits from Skins despite his unwillingness to accept an equal percentage of the risk. Id.

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Bluebook (online)
618 F. Supp. 1214, 1985 U.S. Dist. LEXIS 15526, Counsel Stack Legal Research, https://law.counselstack.com/opinion/halloran-v-ohlmeyer-communications-co-nysd-1985.