American Broadcasting Companies, Inc. v. Walter Reade-Sterling, Inc.

Cross-complainants American Broadcasting Companies, Inc. and ABC Sports, Inc. (“ABC”) appeal from a judgment of nonsuit denying recovery for attorney’s fees and expenses claimed in their cross-complaint.

The relevant facts disclose that plaintiff Marvin E. Becker (“Becker”) brought suit against respondent Walter Reade-Sterling, Inc. (“ReadeSterling”), appellant ABC, John Jay Films, Inc. (“John Jay”) and others for alleged unauthorized use of certain film footage of the 1960 Winter Olympics at Squaw Valley, California. Becker produced the film and, pursuant to a contract, supplied it to John Jay, a film library, which, in turn, supplied it to Reade-Sterling. ABC obtained the footage from ReadeSterling under a contract dated August 26, 1963. By Clause 4 of the agreement, Reade-Sterling represented that it had the right to supply the films to ABC for television use and agreed to indemnify ABC against all claims, damages, liabilities, costs and expenses, including reasonable attorney’s fees, arising from the broadcast, exhibition or other use of said films. Pur suant to the agreement, ABC made use of parts of the film footage in a television series. As a consequence, Becker…