The plaintiff brought a motion for summary judgment seeking $84,725.09 to reconcile a final profit split under a magazine publishing agreement that ended mid-year in 2019.
The agreement required the defendant to provide a minimum of $150,000 in advertising revenue annually, with the first $150,000 of net profit paid to the defendant reflecting this contribution.
Because only one edition was published in 2019, the defendant contributed only $62,625 in ad revenue but argued it was still entitled to the full $150,000 profit priority.
The court applied principles of contractual interpretation and found that the profit priority was linked to the actual ad revenue contributed.
The court granted summary judgment in favour of the plaintiff.