Tortious Interference: Good Faith Matters In Model "Poaching"

*** The writing does not, and is not intended to, constitute legal advice by any means***

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Source: The official website of Next

It is no secret that models change agencies at some point in their career, although some stick with where they started off their career. One big reason why this happens is because models want to keep working with their agents whom they have good business relationships or personal rapport with. So some models choose to move with them. This is quite common in the industry that, to my understanding, most agencies are "okay" with it even if a model's contract has not yet terminated. Instead, the departing agency might request a fee-commission program, generally up to an year. The legal fight mostly happens when seven-figure commanding top-models are involved. Today's post discusses a complaint filed by DNA when Anais Mali, its high-profile model, moved to Next while still in contract. See generally DNA Model Management LLC v. Next Management LLC, Anais Mali, and Kyle Hagler, 2015 WL 11589165 (N.Y.Sup.)

According to the complaint, Anais Mali's contract with DNA was for 2 years subject to an automatic one-year renewal. After a few months subsequent to the renewal, Anais Mali sent an e-mail to DNA in which she expressed her dissatisfaction with how the agency had managed her career. DNA, I think rightfully, indicates that it expended a significant amount of resources to catapult her career to a top model status, and, thanks to the agency's support, Anais Mali earned a seven-figure gross income in 2014. In response to the e-mail, DNA advised Anais Mali that she cannot unilaterally terminate her contract without good cause, as stated in the contract. Around this time, DNA learned that Next posted both on its official website and professional Instagram account that it will now represent Anais Mali. The two agencies tried to resolve the situation amicably, but it turned out to be unfruitful. DNA effectively rejected an offer for a shared commission agreement. DNA sued Anais Mali for breach of contract and Next for tortious interference with contract. The complaint specifically mentions Kyle Hagler for coercing models to get out of their contracts with the agencies so that they can move to Next. Next and Kyle Hagler moved to dismiss the complaint, but Judge Scarpulla of the Supreme Court of New York denied the motion and directed the both parties to file an answer.

Aside from these contractual issues, it seems to me that DNA was offended on a personal level as well. DNA emphatically pointed out in the complaint that the agency incurred tremendous expenses to get her out of then-existing contract with Ford. It even charges Anais Mail of "chang[ing] agencies on a whim". Anais Mali was a regular for top-notch editions of Vogue and sealed a beauty contract with Dolce & Gabbana on DNA's watch. In the introduction, I noted that this practice of "poaching" is not so uncommon and sometimes understood by the agencies involved if the process has been done in good faith. Here, just based on the allegations in the complaint, I'm less sympathetic to Next and Anais Mali because DNA wasn't aware of what was going on the whole time. This industry is mostly about building trusted relationships. Anais Mali is still with Next, and I believe the matter was settled because no further court documents show up in the docket. Today's ultimate lesson? As the old saying goes, honesty is the best policy.