Opinion ID: 424737
Heading Depth: 2
Heading Rank: 1

Heading: Merrick's Appeal

Text: 19 Merrick, in this appeal, asserts that under New York law, which the contract provides and the parties agree shall govern their controversy, the district court erred in awarding CBS rescission and restitution and any damages, and in refusing to award Merrick any relief. Specifically, Merrick asserts that the district court was clearly in error when it found in favor of CBS on the six separate grounds, including findings that Merrick had no excuse for his refusal to perform his contract with CBS and that he waived his right to have the photography commence before August 1, 1979. 20 Waiver is the intentional relinquishment of a known right with knowledge of its existence and the intent to relinquish it. City of New York v. State, 40 N.Y.2d 659, 357 N.E.2d 988, 389 N.Y.S.2d 332 (1976). A contractual deadline may be waived by acts, words or conduct inconsistent with the deadline. Lord Construction Co. v. Edison Portland Cement Co., 234 N.Y. 411, 138 N.E. 39 (1923). 21 The existence of a waiver is usually a fact question; therefore, the trial court's finding should be upheld unless it is clearly erroneous. Fed.R.Civ.P. 52(a). The district court found Merrick's conduct and words inconsistent with the August 1, 1979 deadline. Merrick had hired a writer and director, both of whom were unable to work on Blood and Money until they had finished another project. He did not tell either of them about the deadline, and he ignored suggestions to hire a second writer. He orally agreed to waive the deadline, and he met with CBS and encouraged the development of the project both before and after the deadline had passed. These discussions amply support the district court's finding that Merrick waived his right to enforce the deadline and that CBS relied on that waiver to its detriment. 22 There is no merit in Merrick's contention that any amendment to the agreements must be in writing. The contract so provides, but a clause in a contract that requires amendments to be in writing may itself be waived. Beatty v. Guggenheim Exploration Co., 225 N.Y. 380, 387-88, 122 N.E. 378, 381 (1919) (Cardozo, J.). By his words and conduct, Merrick waived the provision. CBS's detrimental reliance on the oral modification also prevents Merrick from invoking the clause to prevent proof of the modification. Rose v. Spa Realty Assoc., 42 N.Y.2d 338, 344, 366 N.E.2d 1279, 1283, 397 N.Y.S.2d 922, 927 (1977). 23 There was ample evidence to support the court's other findings that Merrick refused to perform and had breached his contract with CBS.