TV Cookery Show Product Placement Contract Binding

Millions tune in to televised cookery shows and the marketing opportunities they present were apparent as the producers of one of the most popular won more than $1 million from a cookware company which failed to honour a product placement contract.

The production company behind a US television series had agreed to license certain intellectual property rights to the UK-based cookware company and to integrate and promote the latter’s products in three episodes of the show.

The cookware company had not paid sums due under the agreement and argued that there had been no binding contract in that the memo which itemised the terms of the deal had not been signed, as required, by a representative of the production company.

The High Court accepted that no such signature had been appended. However, in upholding the production company’s claim, the Court found that it had clearly indicated its acceptance by performing its obligations under the contract. Its claim in debt was upheld and the cookware company was ordered to pay $1,010,000.