In re Hines

222 A.D. 543, 226 N.Y.S. 562, 1928 N.Y. App. Div. LEXIS 8111
CourtAppellate Division of the Supreme Court of the State of New York
DecidedFebruary 3, 1928
StatusPublished
Cited by6 cases

This text of 222 A.D. 543 (In re Hines) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Hines, 222 A.D. 543, 226 N.Y.S. 562, 1928 N.Y. App. Div. LEXIS 8111 (N.Y. Ct. App. 1928).

Opinions

Martin, J.

Miss Elizabeth Hines, a musical comedy star» entered into an agreement with Mr. Florenz Ziegfeld, a manager, whereby she was engaged to appear in the principal woman’s part in a play called “ The Show Boat,” a musical adaptation of Miss Edna Berber’s popular novel of the same name.

By the terms of the agreement dated October 30, 1926, Miss Hines was engaged for the entire run of the play in the United States and Canada, commencing on or about January 10, 1927, and not later than January 24, 1927, but her services in that play for such run were not to continue in any event beyond one year and a half from said date of the commencement thereof. If for causes beyond the manager’s control, The Show Boat ” was not ready for public performance at a stated time in January, 1927, it was agreed that Mr. Ziegfeld would assign Miss Hines to another musical play. In that event all of the provisions of her contract were to be carried over to the other play in lieu of and in place of The Show Boat.”

Miss Hines covenanted that she would render her services exclusively to Mr. Ziegfeld. She further agreed that he should have the right to secure an injunction to restrain any appearance or performance for other persons. As compensation for her exclusive services she was to receive the sum of $1,500 each week during the first year of such run; the sum of $1,750 per week during each week of the first four months of the second year of, such run, and the sum of $2,000 during each week for the balance of such run. The agreement provided that all the terms and conditions of the Producing Managers-Actors Equity form of Run of the Play contract, which were not inconsistent with the terms of the special agreement of October 30, 1916, were incorporated into and deemed a part of this special contract.

Mr. Ziegfeld did not produce “ The Show. Boat ” on the date named and agreed upon in the October thirtieth agreement. After [545]*545the expiration of the specified dates in January, 1927, he notified Miss Hines that he had decided to postpone the opening until the fall of 1927. It is not claimed that the postponement of the opening was for a cause beyond defendant’s control. Mr. Ziegfeld did not assign or offer to assign Miss Hines to a part in any other musical play, as provided in his agreement. It is asserted that the petitioner feeling herself bound by her covenant to refrain from rendering her services to any party other than Mr. Ziegfeld without first having obtained his written consent, on being notified of the postponement of the opening of “ The Show Boat ” for such an unreasonable time, requested Mr. Ziegfeld to give his consent to her taking other employment during the period of the postponement; and that this Mr. Ziegfeld refused.

It is the contention of Miss Hines that as a result of the postponement of the opening until the fall and the failure on the part of Mr. Ziegfeld to assign her to another play or to give his consent to her employment elsewhere, she lost a large amount of money; that the business of the theatre is a seasonal one; that engagements of a substantial character most profitable to a leading actress are begun in the fall; that her prestige in the theatre at the time of the making of the agreement was such that she was not dependent upon Mr. Ziegfeld for an engagement; that there were other managers then desirous of engaging her; that when Mr. Ziegfeld refused to carry out his contract it was too late to avail herself of other opportunities and, besides, Mr. Ziegfeld would not give his consent to her doing so; that consequently when Mr. Ziegfeld left her without employment for the season, he caused her to lose an entire year in her career, money earnings, the prestige through successful performance in a leading part of a Ziegfeld production as well as the publicity naturally attendant upon such performance.

Miss Hines demanded that the matter of damages caused by Mr. Ziegfeld’s breach be arbitrated and that he pay her the amount fixed by the arbitrators.

In answer to that demand it was urged by the respondent that the clause in the Producing Managers-Actors Equity form of Run of the Play contract with reference to arbitration was not made a part of the contract between the parties.

We find, however, that paragraph “ 7 ” of the October thirtieth agreement incorporated the terms and conditions of the Producing Managers-Actors Equity form of Run of the Play contract as follows: “All the terms and conditions of the Producing Managers-Actors Equity form of Run of the Play contract, except as by this contract modified, shall be deemed to be a part of this contract. [546]*546Wherever such Producing Managers-Actors Equity form of Run of the Play contract shall be inconsistent with or contradictory to any of the terms or conditions herein contained, then the terms or conditions herein contained shall prevail.”

In said “ equity ” form of contract the following arbitration clause will be found: 12. In event that any dispute shall arise between the parties as to any matter or thing covered by this agreement, or as to the meaning of any part thereof, then said dispute or claim shall be arbitrated. The Manager shall choose one arbitrator and the Actors’ Equity Association the second;........ shall be the third. These three shall constitute the Board and the decision of a majority of the arbitrators shall be the decision of all and shall be binding upon both parties and shall be final. * * *.”

The respondent contends that there are a number of decisions which hold that under- such circumstances the arbitration clause is not a part of the contract. The cases cited have no application. They construed contract provisions that stated certain sales were to be governed by the raw silk rules' adopted by the Silk Association of America. The contracts referred to provided how sales should be made, but did not provide that the clause with reference to arbitration should be considered embraced within the contracts.

Here it is expressly provided that certain provisions for arbitration shall be made a part of the contract between the parties. The arbitration clause, therefore, is applicable and it follows that all questions for decision must be decided by arbitration.

When this motion was heard at Spec'al Term the court undertook to decide all the matters in dispute and held that the appellant was entitled to but two weeks’ salary at $1,500 per week. The arbitration clause provides that if any dispute shall arise as to the meaning of any part of the contract it shall be arbitrated.

The Court of Appeals in Matter of Wenger & Co. v. Propper S. H. Mills (239 N. Y. 199) said: The parties have agreed that their disputes arising relative to the fulfillment of the terms of the contract shall be settled by arbitration. It is the duty of the court to enforce their agreement rather than to undertake itself to settle the dispute or to narrow the field of arbitral disputes.”

In Smith, Coney & Barrett v. Becker, Gray & Co. (L. R. [1916] 2 Ch. 86, 94) Lord Cozens-Hardy, M. R., said: “ When once we have got to the point that there is a contract, and a contract which confers rights upon both parties, it seems to me that the case is really at an end. The parties have in terms agreed that their mutual rights and obligations shall be settled by arbitration, and in no other way. It may or may not be a very foolish thing to [547]*547have such a term.

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Bluebook (online)
222 A.D. 543, 226 N.Y.S. 562, 1928 N.Y. App. Div. LEXIS 8111, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-hines-nyappdiv-1928.