Martha Stewart just got a black eye in her testy legal spat with Macy’s.
A New York judge yesterday temporarily blocked plans by Martha Stewart Living Omnimedia — which currently makes a line of home products for Macy’s — to distribute a second line of soft furnishings, tableware and kitchen supplies at rival JCPenney early next year.
In an oral ruling yesterday, New York State Supreme Court Justice Jeffrey Oing said, “The scale tilts in favor of Macy’s,” as the two continue to duke it out over the Penney tie-up, according to Reuters.
After Martha Stewart and Penney announced their partnership in December, Macy’s claimed it had the exclusive right to manufacture and sell the Martha Stewart-branded goods.
Agreeing with earlier arguments by Macy’s lawyers, Justice Oing said Martha Stewart’s deal with Penney stores would hurt Macy’s.
The judge also agreed that Macy’s “took on the risk” of carrying Martha Stewart products after the domestic diva was convicted and jailed in 2004 for lying about a stock sale.
Macy’s spokesman Jim Sluzewski said yesterday the company was “pleased” with the injunction and will continue to sell Martha Stewart products in its stores.
Meanwhile, sources said Macy’s has agreed to allow some Martha Stewart products to be sold at Penney next year.
“We will be launching our products both in store and online with JCPenney in the first quarter of 2013,” a spokeswoman for Martha Stewart said.
“Nothing about today’s ruling changes that.”