MUSEUM BOUTIQUE INTERCONTINENTAL, LTD. V. PICASSO
886 F.Supp. 1155 (1995)
NATURE OF THE CASE: Picasso (D) filed a motion to dismiss, pursuant to Fed. R. Civ. P.
12(b)(6) in Museum's (P) suit or infringement of P's rights in the works of art and tortious
interference with contractual relations and for declaratory and injunctive relief to bar D
from making any infringing use of those works.
FACTS: Pablo Picasso's actual works of art were divided among his heirs. However, the
reproduction rights in the works remained in the Picasso Estate, or Succession Picasso, as
the joint property of the heirs. Under French law, this joint property is known as the
indivision successorale ('indivision'), and the joint ownership of the reproduction rights
continues in effect until the heirs individually opt out or become subject, either through
agreement among themselves or court decision, to a division, or partage, of the property. In
1976, the heirs and the Societe de la Propriete Artistique et des Dessins et Modeles
('SPADEM') entered into an agreement \which granted SPADEM the right to administer, manage
and exploit the Picasso name, image and likeness in connection with reproductions of Picasso
artwork. In 1980, P allegedly acquired exclusive licenses to reproduce certain Picasso
paintings and create derivative works incorporating these images. In 1993, P brought this
suit against Picasso (Ds). P claims that Ds have infringed P's exclusive rights in the
Picasso works and seeks declaratory and injunctive relief. P alleges intentional
interference with contractual relations with P's Japanese manufacturers and distributors
among other counts. P claims that Ds had actual knowledge of its agreements and that Ds
falsely advised the Japanese companies that P had no right to license or sell derivative
works of art in order to induce a breach of the licensing agreements. Mitsukoshi and INFAS
lost faith in P and sought continuous reassurance from P. Mitsukoshi was forced to fly two
million dollars of its prototypes to New York for a product review. P spent many working
hours trying to assure Mitsukoshi and INFAS that it had the rights to license these goods
and in contact with Claude Picasso and SPADEM to make sure that they would not sue P's
agents and licensees. Claude Picasso (D) also sought the termination of the Mitsukoshi and
INFAS contracts as part of the Global License Agreement that he was negotiating with P. P
alleges that Paloma and Claude's actions drove P to seek the Global Licensing Agreement and
subsequently caused P to terminate its contracts with Mitsukoshi and INFAS. Ds motioned for
summary judgment.
ISSUE:
RULE OF LAW:
HOLDING AND DECISION:
LEGAL ANALYSIS:
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