Following the March 3, 2010 decision of the Court of Appeal in Cussler v. Crusader, the extraordinary spin machine of Phillip Anschutz’s company has flooded the media with attempts to portray its loss of $19 million as a “victory.” The brazenness of this spin compels a response.
Yesterday’s decision is a vindication for Clive Cussler. The Court of Appeal recognized that Crusader has no rights in any further Cussler novels and confirmed that Cussler was completely within his rights to act in his sole and absolute discretion and reject screenplays which attempted to change the Approved Screenplay for Sahara.
Bert Fields, Cussler’s lawyer issued the following statement:
“I’ve read a lot of spin in my time from losing litigants. But the most extreme spin to date emanates from Phillip Anschutz’s company, Crusader. Having lost the Cussler appeal, they are trying desperately to claim victory.
Crusader made nine claims in the lawsuit. It lost all nine. Every one.
The jury’s verdict was overwhelmingly favorable to Cussler, except for an award of $5 million to Crusader for Cussler’s breach of an implied covenant. Now the Appellate Court has even taken away that award. It knocked out the $5 million, holding that Cussler’s conduct in the screenplay process complied with the contract and didn’t violate anything.
Crusader’s blog says the Appellate Court “reduced” the $5 million award. Yes, they reduced it to zero. Crusader tried to excuse this loss by claiming it was based on a change in the law. But the law cited by the Court was from 1995.
The Appellate Court also held that, in any subsequent litigation, Crusader would be barred from claiming they didn’t owe the money still payable to Cussler under the contract.
In addition, the Court acknowledged one of Cussler’s most significant claims, that he was now free of Crusader’s options on his other books.
On the parties’ other fundamental claims, Crusader was held to have violated the contract by changing the screenplay without Cussler’s approval, just as Cussler had claimed, and Cussler was held to have behaved properly in the screenplay process, contrary to Crusader’s strident claims.
So, right now, Crusader is going to owe Cussler about $19 million and will likely end up owing $27 million. And that’s a victory? If you buy that, I’ve got a bridge I’d like to sell you.”