Savoy Record Co. v. Cardinal Export Corp.

On November 1, 1960 Savoy Record Company, a New Jersey corporation engaged in making phonograph records, signed two letters, addressed to " Armonía E. Ritmo, Via Rimmassa 68, Genoa, Italy”.1 In their essential terms, the letters incorporated an understanding by which Savoy was to grant tp Armonía the exclusive right to manufacture and market its records in Italy for a period of two years and, in return, Armonía was to pay a royalty of $8,000 a year for the effective period of the agreement. Both of the letters, lengthy and profuse in detail — one fills 11 pages of the printed record and *3the…