| Ellison v Island Def Jam Music Group |
| 2010 NY Slip Op 08989 [79 AD3d 458] |
| December 7, 2010 |
| Appellate Division, First Department |
| Douglas Ellison et al., Respondents, v The Island Def Jam MusicGroup et al., Appellants, et al., Defendants. |
—[*1] Tony L. Axam, Atlanta, GA (of the Georgia bar, admitted pro hac vice, of counsel), forrespondents.
Order, Supreme Court, New York County (Michael D. Stallman, J.), entered January 5, 2010,which granted the motion by defendants Island Def Jam Music Group and Shalik Berry for leave toreargue their motion to dismiss the complaint and, upon reargument, granted the motion as to the aidingand abetting claims and otherwise adhered to the original determination, unanimously affirmed, withcosts.
The complaint contains the following allegations. Plaintiff artistic management company entered intoan exclusive management agreement with Chrisette Michelle Payne (Ms. Michelle). Defendants havethe right, pursuant to a written agreement with plaintiffs, to make recordings, bookings and sponsorshipdeals for and with Ms. Michelle. Defendants used their contractual right of access to Ms. Michelle toattempt to have her sever all ties with plaintiffs, so that they could deal with Ms. Michelle directly. Ifsuccessful, defendants' scheme to eliminate plaintiffs, the middlemen in the transaction, would havedeprived plaintiffs of the benefit of their bargain. These allegations state a cause of action for violation ofthe covenant of good faith and fair [*2]dealing that is implied in everycontract (see 511 W. 232nd Owners Corp. v Jennifer Realty Co., 98 NY2d 144, 153 [2002];Richbell Info. Servs. v Jupiter Partners, 309 AD2d 288, 302 [2003]).Concur—Mazzarelli, J.P., Acosta, Richter, Abdus-Salaam and RomÁn, JJ.