Even celebrities must deal with the often mundane task of negotiating and signing contracts. Although it can be tempting to sign a contract without reading it in depth or consulting with a lawyer, this case illustrates the importance of understanding every term and condition of a contract because of the complexities that can arise if there are ambiguous terms.
Duck Commander Inc. is owned by the Robertson family, who starred in the reality TV show Duck Dynasty. Initially, they made and sold duck calls and other related equipment. However, they ventured into the beverage industry partly because one of the family members, Si Robertson, liked iced tea. Subsequently, Chinook USA (a company that manufactures bottles and sells ready-to-drink beverages) and Duck Commander entered into a Licensing Agreement where Chinook would distribute Duck Commander branded iced tea.
After Duck Commander signed the agreement with Chinook, Duck Commander signed two other contracts involving beverage sales. The first contract was with Go-Time Energy, where Go-Time Energy had the three-year exclusive right to manufacture, license, and sell Duck Commander-branded energy shots. Duck Commander also agreed with Checkered Flag to sell Duck Commander-branded vitamin water.