Paul M. Ellington, Appellant v. EMI Music, Inc., Defendants, and EMI Mills Music, Inc., Respondent

Summary

The New York Court of Appeals affirmed the Appellate Division, holding that the royalty provision’s language “net revenue actually received” and the term “any other affiliate” are clear and unambiguous, limiting “affiliate” to entities existing at the time of the 1961 agreement, so EMI’s use of foreign affiliates does not breach the contract. The decision relied on plain‑meaning principles and prior New York precedent. A dissent argued that “affiliate” should include foreign affiliates and would reverse the dismissal.