Bayer v. Beran
Supreme Court of New York
49 N.Y.S.2d 2 (1944)
The directors (defendants) of the Celanese Corporation of America (CCA) started a radio advertising campaign for the corporation. CCA had advertised before, but never on the radio. In making its decision to start advertising on the radio, the directors reviewed studies given to them by CCA’s advertising department, brought in a radio consultant to help them determine the station and time to advertise, and hired an advertising agency to produce the ad. In addition, the advertising commitments were subject to cancellation at any time, and the board voted to renew the advertising contract after it had been running for a year and a half. One of the singers on the program on which CCA decided to advertise was the wife of Camille Dreyfus, one of CCA’s directors. The plaintiff brought suit, claiming that the advertising campaign was started due to the benefit to Mrs. Dreyfus as it “subsidized” her career and was “a vehicle for her talents.”
Rule of Law
Holding and Reasoning (Shientag, J.)
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