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Macy's Is Suing JCPenney Over Martha Stewart Contract

| Filed under: Fashion SmashionLegal MattersMartha StewartMacy'sJCPenney


Dayum, now JCPenney is getting sued too!!!

Macy's and Martha Stewart have been in a heated battle for several months over a deal Martha Stewart Living Omnimedia Inc. made with JCPenney, and since she appealed the preliminary injunction the retailer made against her, Macy's is now after JCP.

Things are about to get real cray!!

We can definitely see why Macy's isn't feeling that JCPenney is selling the businesswoman's goods because that just means it's straight up competition.

Now, Macy's is seeking damages and an injunction against Penney's, which in turn will keep JCP from selling Martha Stewart goods, and everyone can be happy. Well, at least Macy's can.

JCP and Martha both DECLINED to comment about the happenings:

“Macy’s has an exclusive right to use the name and likeness of Martha Stewart in connection with the manufacture, marketing, distribution and sale of products in contractually defined categories, including housewares, cookware, soft home, bedding, bath and kitchen textiles, home decor and certain furniture. 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 JCPenney at any time in the past or that may be in the future. 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.”

Macy's emphasized at the court house that Martha breached their contract by selling prodcuts at JCPenney that are similar to the items that they sell as well.

The retailer's lawyers also argued that the home goods firm defied the deal by developing an e-commerce site with Penney's that would also sell Miz Stewart's pieces.

Now, in order to dodge the breach, JCP and Martha "developed" MSLO stores, or Martha Stewart shops-in-shop within Penney’s.

Talk about trying to avoid a lawsuit!

Lawyers backing the home goods firm argued that the proposed stores in Penney's qualify as Martha Stewart stores under the indications of the Macy's agreement, which are allowable.

Macy's commented on the "shops:"

“JCPenney appreciated the flimsiness of the ‘MSLO Stores’ artifice as an attempt to avoid Macy’s exclusivity rights. [The stores] contemplates how to deal with a lawsuit by Macy’s.”

Macy's lawyers also said that the department store is being hurt “in ways that cannot be quantified,” and that the Penney's-Stewart deal has not only “devalued” the Martha Stewart goods that the retailer sells “in ways that are not calculable,” but their relationship has also been “damaged.”

The only way the situation s going to come to a close is if Macy's gets the permanent injunction they're asking for, which will keep JCP from making and selling Martha's products in certain categories.

But it doesn't stop here, Macy's also wants a preliminary injunction to keep JCP from advertising their Stewart merchandise, and punitive and statutory damages as well as other fees and costs that the court may account.

Macy's is really going in on Martha and Penney's, but it's not like we can blame them!

What Miz Stewart did was kind of shiesty, but we can't hate on her for wanting to sell her stuff everywhere.

She was just trying to get her PAPER!!!!

What do U think?!?

[Image via Joseph Marzullo/WENN.]

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