
Lawsuit Claims Williamson-Dickie is Under-cutting U.S. Licensee Apparel Ltd.
LOS ANGELES, Jan. 10, 2012 /PRNewswire-USNewswire/ -- To stop Williamson-Dickie Manufacturing Company from cannibalizing its sales, licensee Apparel Ltd. has filed a three count lawsuit against Williamson-Dickie.
Apparel Ltd., LLC v. Williamson-Dickie Manufacturing Company (Case # 3:11-cv-03599-B) alleges breach of contract, breach of covenant of good faith and fair dealing, and intentional interference with an economic relationship. It was filed in United States District Court, Northern District of Texas, Dallas Division, where the global company Williamson-Dickie is headquartered.
"This is a clear case of Williamson-Dickie competing against its own licensee," said Apparel Ltd. attorney Robert L. Esensten, partner at Wasserman Comden Casselman & Esensten, LLP. "With one hand Williamson-Dickie is stealing sales from Apparel Ltd. while the other hand is collecting minimum royalty payments."
Williamson-Dickie granted Apparel Ltd. an exclusive license throughout the United States to sell female career, work wear, and sportswear apparel in junior sizes 0-27.
Apparel Ltd. has extensive relationships with major accounts, including Walmart, K-Mart, Sears, JCPenney, City Trends, Tillys, Amazon, and 2,000+ additional retail customers. This relationship allowed Apparel Ltd. to maintain a prominent presence in these retail stores and to build a strong custom-designed line, known as Dickies Girl, into the number one female work wear line in the United States.
In July 2010, Apparel Ltd. became aware that Williamson-Dickie was manufacturing and selling merchandise that duplicated Apparel's custom-designed Dickies Girl line. It was selling "even sizes" of these designs on the same racks in Walmart and other stores that Apparel's Dickie Girl was sold. The products were so close that neither customers nor sales staff could distinguish between the two products.
"I'm appalled by Williamson-Dickies' response," says Esensten. "It claims that Apparel's license to sell junior sizes from 0 – 27 doesn't include even sizes. It is duplicating Apparel's custom-designed Dickie Girl line and competing with their own licensee. I might not have the right to question this company's ethics, but I sure do have the right and obligation to get justice for my client, Apparel Ltd."
Dickies Girl is the exclusive licensee of Apparel Ltd. The Los Angeles-based company has built Dickies Girl into the number one female work wear in America. It is available at Walmart, JCPenney, Amazon, and at 2,000+ additional retailers throughout the United States.
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SOURCE Wasserman, Comden, Casselman & Esensten
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