Macy’s Inc. (Cincinnati) and Martha Stewart Living Omnimedia Inc. (New York) settled their breach of contract litigation that also involved JC Penney Co. Inc. (Plano, Texas).
As with most out-of-court settlements, terms were not disclosed.
However, Macy’s said in a statement that the agreement does not affect its outstanding claim against Penney’s.
Macy’s sued Martha Stewart and JCPenney in 2012, saying it had exclusive rights to sell Stewart-designed items in categories including bedding, bath and cookware. After the suit, Penney rebranded the items, taking Stewart’s name away and calling them “JCP Everyday.” Macy’s, however, pushed for the sales of those items to be stopped altogether because they were designed by Stewart’s company, with which Macy’s had an exclusive agreement.
Penney said last October that it would roll back its agreement with Martha Stewart to stop making products in categories exclusive to Macy’s and end the partnership in 2017, four years earlier than planned. The original deal, announced in 2011 by Penney and Martha Stewart, was for 10 years.
The agreement between Macy’s and Martha Stewart Living, for exclusive “Martha Stewart” branded products in Macy’s stores, was forged in 2006.