Nike Inc. and Reebok International Ltd. have settled a lawsuit over the right to sell New York Jets football apparel bearing the name of the Jets' new quarterback, Tim Tebow. According to a final judgment made public on Tuesday by U.S. District Judge Kevin Castel in Manhattan, Reebok agreed to stop selling Jets-related apparel with Tebow's name on them. Reebok also agreed to offer to buy back such apparel already shipped to retailers.
Reebok's licensing agreement with the National Football League ended
March 31, and Beaverton, Oregon-based Nike this month became the
official supplier of licensed NFL apparel. Nike sued March 27 to block
Reebok from selling the jerseys, which were sold after Tebow's trade to
the Jets. One day later, a federal judge issued a temporary order against Reebok to stop making the products with Tebow's name.
The final judgement document did not mention whether the settlement involved a cash settlement, except to say that no costs or attorneys' fees would be awarded to either Reebok or Nike.
“We're pleased to have reached a mutually agreeable resolution,” Nike
spokeswoman Mary Remuzzi said in an e-mailed statement today.
Castel's order was issued with agreement of both sides. Castel had
previously issued rulings blocking Reebok from selling the jerseys.
“We're pleased to have reached a mutually agreeable resolution,” Daniel
Sarro, a Reebok spokesman, said in an e- mailed statement.
Lawyers for Canton, Massachusetts-based Reebok had argued that the
company had the right to sell the jerseys and T-shirts under a sell-off
provision of its licensing agreement with Players Inc., the marketing
affiliate of the National Football League Players Association.
