Heading: Wood v. Lucy, Lady Duff-Gordon, 222 N.Y.88 (1917) p35.
Facts: - Lucy is a "creator of fashions." Her endorsement helps a sale.
Procedure: Wood sued for damages. Case comes to this court on demurrer. Appellate Division ruled for Wood. This court reversed that decision.
Issue: Did the act of D getting endorsements without letting P in on the proceeds as spelled out in the agreement, mean the contract between the two was broken and therefore D should be entitled to damages? Was there a consideration to bind Lucy to her promise?
Rule: If a promise to do something is not specifically spelled out in a contract, it can be implied depending on the circumstance of the signing, terms of compensation, and duties as listed in the contract.
Holding: Because a contract was made between the two parties sharing the proceeds of endorsements, the act of P not letting D in on his share, is a breach of contract.
Rationale: There are plenty of indications that both parties made a promise to each other to share the proceeds from endorsements. The defendant argues that the agreement lacks the elements of a contracts because P does not bind himself to anything. We think such a promise is implied.
Policy/Notes: