Macy’s Inc. has filed suit against Martha Stewart Living Omnimedia Inc. claiming the media and merchandising company breached its contract with the department store when it entered into an agreement with J.C. Penney.
According to the suit, filed in New York Supreme Court, in 2006 Macy’s entered into an agreement with Martha Stewart Living that granted Macy’s exclusive rights to manufacture and sell certain products. But in December 2011, after taking a large stake in Martha Stewart Living, J.C. Penney announced it would start selling Martha Stewart Living products in 2013.
In a statement, Macy’s said it had "renewed its agreement to exclusively sell Martha Stewart-branded product in categories such as cookware, kitchen utensils, bed and bath for another five years." That means, according to Macy’s, it should maintain its exclusive rights to the products until January 2018.
Macy’s suit seeks preliminary injunction to stop Martha Stewart Living from violating its agreement.
