Macy’s Inc. and Martha Stewart Living Omnimedia Inc. settled litigation over whether Martha Stewart breached a contract by selling certain goods at J.C. Penney Co. (JCP) The terms of the settlement weren’t disclosed.
Macy’s said today in a statement that the pact doesn’t affect its outstanding claim against J.C. Penney. Martha Stewart and Macy’s both said the terms of the settlement aren’t material to their businesses.
Martha Stewart and Macy’s have been locked in a legal battle since January 2012 over whether Martha Stewart’s agreement to provide merchandise to J.C. Penney violated an earlier exclusivity contract. J.C. Penney said in 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.
Macy’s, based in Cincinnati, fell 0.5 percent to $53.40 on Dec. 31 in New York. The shares gained 37 percent last year. Martha Stewart slid 2.3 percent to $4.20 on Dec. 31 and climbed 71 percent in 2013.
Macy’s sued Martha Stewart and J.C. Penney in 2012, saying it had exclusive rights to sell Stewart-designed items in categories including bedding, bath and cookware. After the suit, J.C. Penney rebranded the Stewart goods in those disputed categories “JCP Everyday.” Macy’s then pushed for the sales of those items to be stopped because they were designed by Stewart’s company.