A New York state Supreme Court judge has ordered Macy's, J.C. Penney and Martha Stewart Living into mediation to resolve a dispute over a partnership with the Martha Stewart brand.
The development Thursday came as the companies wrapped up the third week of a trial over whether Macy's has the exclusive rights to sell some Martha Stewart merchandise, including bedding, cookware and bath items.Cincinnati-based Macy's sued New York-based Martha Stewart Living Omnimedia, alleging that it breached a long-standing contract when it signed a deal with J.C. Penney in December 2011.That deal was for opening Martha Stewart minishops in most Penney stores this spring.In a separate lawsuit, Macy's sued Plano-based Penney, saying that it had no regard for Macy's contract with Martha Stewart Living and that Penney was out to steal a business that Macy's had developed.The two lawsuits were consolidated for the bench trial presided over by Judge Jeffrey Oing, who ordered the mediation.On Thursday, Stewart and Macy's CEO Terry Lundgren had "a productive conversation regarding the ongoing contract dispute," Martha Stewart Living said in a statement before the judge's order."We view today's actions as a positive step forward," the statement said.Have more to add? News tip? Tell us
