Licensing Company Sues Nike, Basketball HOF Over Jordan Line
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Nike Expects To Release Its Air Jordan
Hall Of Fame Collection In September |
Massachusetts-based Sports licensing company SportsFuzion filed a lawsuit Monday in Norfolk (MA) Superior Court against Nike and the Basketball HOF, "alleging fraud and breach of contract, over a proposed Nike line of Michael Jordan sportswear," according to Nicholas Casey of the WALL STREET JOURNAL. The company, which is seeking damages of more than $10M, claims that Nike and the HOF's plans for a "line of 'Air Jordan Hall of Fame' sportswear circumvent a 2006 contract that it said gave SportsFuzion exclusive sportswear licensing rights" to the HOF's trademarks and logos. The lawsuit alleges that Nike, which has held rights to Jordan-branded goods since '84, "didn't work with SportsFuzion in the Hall of Fame arrangement." SportsFuzion VP Steve Barlow: "Nike and the Hall of Fame basically colluded to cut us out of this deal." SportsFuzion also said that under its original agreement with the HOF, the company is "entitled to collect nearly 90% of the net sales of Hall of Fame sportswear with the remainder going" to the HOF. However, Basketball HOF VP/Advancement Scott Zuffelato said that his organization has "no licensing agreement with SportsFuzion" (WSJ.com, 6/23). Nike is "expected to release its Air Jordan Hall of Fame collection this summer, ahead of Jordan's induction" into the HOF in September (AP, 6/24). The lawsuit also charges Nike with "interfering with a contract and charges both parties with unfair and deceptive trade practices." SportsFuzion said that it "met multiple times with executives from Nike's Brand Jordan, but Nike turned down a deal in November 2007" (REUTERS, 6/24).
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