Business Law

Raymond Weil VS Charlize Theron |

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Raymond Weil VS Charlize Theron

Unit 5 Assignment

Actress Charlize Theron had a lawsuit brought against her by watchmaker Raymond Weil for breaching a contract to exclusively promote Raymond Weil’s “Shine” collection through advertising and by wearing the watches exclusively. She was photographed wearing a Dior watch at a screening for a film produced by her company Denver & Delilah Films, Inc. A federal judge in New York concluded that Theron had breached her agreement, and that Raymond Weil was entitled to prove to a jury that he sustained damages.

The agreement forbade Theron from endorsing or advertising watches or jewelry for any other companies during its duration. However, the agreement also provided that Theron was allowed to wear jewelry of her choosing in public and to awards shows. The contract was also in the thirteenth month of a fifteen month contract.

The defenses that are available are Bilateral Mistake, which is when both parties misunderstood or misinterpret the terms of the contract. When there is a bilateral mistake it can be rescinded by either party. A Unilateral Mistake is when only one party is mistaken about a fact of the contract. And there are two exceptions to this rule. If the mistaken party should have known that it was a mistake and not a fact, or if it was a mathematical mistake made unintentionally.

I believe that the only defense that Charlize Theron would have is the provision that she was allowed to wear jewelry of her choosing in public and to awards shows.

A breach of contract entitles the non-breaching party to sue for monetary damages. Damages are designed to compensate a party for harm suffered as a result of another’s wrongful act. In the context of contract law, damages are designed to compensate the non-breaching party for the loss of the bargain. Often, courts say that innocent parties are to be placed in the position they would have occupied...