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Macy's Files Suit Against J.C. Penney Over Martha Stewart Deal

Friday August 17th, 2012 - 12:48PM


Macy’s Inc. has filed suit against J.C. Penney Co. regarding the rights to sell Martha Stewart-branded products.

Macy’s had also filed suit against Martha Stewart Living Omnimedia (MSLO) in January to stop it from executing a sales agreement that was announced in December with J.C. Penney. Macy’s claimed an exclusive right to sell Martha Stewart products in certain categories. Last month, in a lawsuit against Martha Stewart Living Omnimedia, Macy’s was granted a preliminary injunction that stopped Martha Stewart Living from taking any steps under the agreement with J.C. Penney. MSLO filed a notice of appeal of that decision last week. 

Regarding the lawsuit against J.C. Penney, Macy’s said, in a statement, "The lawsuit filed today seeks to expand injunctive relief to J.C. Penney and seeks to have J.C. Penney pay damages for its tortious interference with the contract between Macy’s and MSLO.  This requested injunction would cover, but is not limited to, any current designs in Macy’s exclusive product categories that were developed by MSLO for J.C. Penney at any time in the past or that may be in the future."

The lawsuit seeks a preliminary injunction “preserving the status quo” and a permanent injunction to stop J.C. Penney from using Martha Stewart’s name or likeness in connection with the “manufacture, marketing, sale or distribution” of products in certain categories, including cookware, housewares and home decorations, as well as unspecified damages. 

"This requested injunction would cover, but is not limited to, any current designs in Macy’s exclusive product categories that were developed by MSLO for J.C. Penney at any time in the past or that may be in the future,” Macy’s said in a statement. “Macy’s plans to continue to fully support its exclusive Martha Stewart-branded product sold in its stores and online under its contract with MSLO, which currently extends through January 2018.”