NY Post says JC Penney dropping Martha Stewart home goods
MSLO says partnership not ending; JC Penney not commenting
Home Accents Today Staff -- Home Accents Today, 9/5/2013 3:24:04 PM
JC Penney is dropping a line of home goods designed by Martha Stewart that Macy's has claimed violated its contract with Stewart, the New York Post reported, citing sources familiar with the matter.
The report said JCP might also scrap its production of Stewart-branded goods not covered by the lawsuit including window treatments, rugs, crafts and pantry items.
Penney's Chief Executive Mike Ullman made the decision even though a New York judge has not yet ruled on the lawsuit filed by Macy's to stop Penney from selling the products, the New York Post said.
Martha Stewart Living Omnimedia said in a statement cited on CNBC Thursday afternoon it has no intention of ending the partnership, according to a Reuters report.
Macy's sued Penney and Martha Stewart Living Omnimedia last year over a deal announced in 2011 to open shops selling Stewart-designed home goods at Penney stores as part of ex-CEO Ron Johnson's vision for a new home section. Macy's has claimed exclusive rights to Martha Stewart cookware, bedding and bath products under a partnership that began in 2006. The department store chain sued Stewart for breach of contract and Penney for interfering with its contract with Stewart. The lawsuits were combined last year.