Texoma Broadcasters, Inc. v. Hospital Corp. of America

YELVERTON, Judge.

In this open account suit the principal, a hospital, sought to avoid the demands of certain television broadcasting stations for advertising services, by presenting the defense that its agent, an advertising agency, was solely responsible to the broadcasters for those services. The trial court applied the law of agency and gave judgment to the broadcasters. In this appeal, while conceding that the relationship of principal-agent existed between it and the advertising agency, the hospital argues the existence of what it terms were unique facts that support estoppel and custom…