Opinion ID: 5499
Heading Depth: 3
Heading Rank: 3

Heading: Our Interpretation

Text: In construing a specific contractual term, we must give consideration to the meaning attributed to that term in the industry. See Seiden, 959 F.2d at 428 (noting that a contract is ambiguous if it is capable of more than one meaning when viewed objectively by a reasonably intelligent person who has examined the context of the entire integrated agreement and who is cognizant of the customs, practices, usages and terminology as generally understood in the particular 2 These articles distinguish between pay-per-view television and closed-circuit television, the latter being a telecast to commercial establishments, not to homes. This distinction is inconsistent with PPV's position. Under PPV's definition of closed-circuit, pay-per-view television is a type of closed-circuit telecast because the signals are transmitted to specific users. trade or business) (emphasis added). We must also consider the contract in its entirety in an effort to harmonize and give effect to all provisions of the contract so that none will be rendered meaningless. Goodheart Clothing Co. v. Laura Goodman Enter., Inc., 962 F.2d 268, 272-73 (2d Cir.1992) (applying New York law). The jury should have played no role in interpreting the Dynamic Duo-HBO contract. Based on the parties' objective intent as evidenced by the contract language as a whole and the industry meaning of the term closed circuit, we conclude that this contract is susceptible to only one reasonable interpretation. To the extent that the industry meaning of the term closed circuit might be considered a question of fact under New York law, we note that the overwhelming evidence demonstrates as a matter of law that, in the boxing industry, closed circuit refers to a type of venue, not the method of transmitting the television signal. Our examination of the Dynamic Duo-HBO contract as a whole accords with HBO's position that it had the exclusive right to telecast the fight to home viewers. The term closed circuit as used in paragraph 3 of the contract must be construed with reference to other provisions in the contract, particularly paragraph 2 of the contract. The first sentence o f paragraph 2 states that HBO shall have the exclusive ... right to exhibit the Event in any and all media on the HBO programming services throughout the United States.... (emphasis added). The word exclusive is used again in the fourth sentence of paragraph 2: In addition to HBO's exclusive right to exhibit the Event live, HBO shall have the right to exhibit the Event on a delayed basis.... Paragraph 3 limits HBO's exclusive right by providing that Dynamic Duo may authorize live exhibition by means of closed-circuit television. PPV asserts that paragraph 2 only grants HBO the right to exhibit the fight on HBO programming services, and that Dynamic Duo, in paragraph 3, retained the right to permit anyone to telecast the fight anywhere, so long as the telecast utilized closed-circuit technology. Under PPV's interpretation, Dynamic Duo retained the right to permit other cable programming companies, such as Showtime or ESPN, to telecast the fight to home viewers.3 PPV's interpretation would render the 3 Cable programmers utilize close-circuit technology. language exclusive and in any and all media meaningless. Moreover, it ignores that HBO's own telecast of the fight utilized closed-circuit technology. Given the contract language as a whole and the prevailing industry meaning of the term closed circuit, we interpret the Dynamic Duo-HBO contract as conveying to HBO the exclusive right to telecast the fight live to home viewers.4 Under paragraph 3, Dynamic Duo retained the right to telecast the fight to public venues.5