Muzak Corp. v. Hotel Taft Corp.

In April, 1937, plaintiff’s predecessor, Wired Radio, Inc., and the defendant hotel entered into an agreement in writing in connection with the reception by the hotel of the program service of the plaintiff and the transmission thereof to rooms in the hotel. Muzak agreed to install and lease to the hotel certain specified equipment. The hotel promised to pay therefor a rental of $600 per month for fifty-four months and the sum of $1 per month thereafter. In addition, the hotel agreed to pay as “ a license fee for the use of such equipment ” the sum of $100 per month. The contract was to…