PARIS — A group of former employees of recently liquidated French eyewear manufacturer Groupe Logo that started legal action against Tag Heuer, the company’s main client, have agreed to a settlement subject to court approval, Virginie Verfaillie Tanguy, the lawyer representing the LVMH Moët Hennessy Louis Vuitton-owned brand confirmed.According to a source, 78 out of 172 Groupe Logo employees were suing Tag Heuer on two counts: abuse of economic dependency and loss of opportunity, after the luxury brand last fall confirmed it would not be renewing its license with the eyewear manufacturer.Verfaillie Tanguy said Tag Heuer maintains its claim that it was not responsible for the fate of Groupe Logo, “which will be stipulated in the protocol of the settlement,” but that the company is “sensitive to the fate of the employees who were not directly responsible for the situation.” She declined to confirm the details of the settlement. The compensation is to be distributed between all of the group's former employees and not only the workers involved in the procedure.Founded in 1896 and based in Morez — the so-called eyewear capital of France, in the country’s Jura department — Groupe Logo is understood to have held licenses with Tag Heuer stretching back two decades, along with fellow LVMH-owned brand Fred, which also decided not to renew its license with the company.Tag Heuer strongly contested reports that it was responsible for the company’s closing, claiming it was Groupe Logo's last remaining “significant” client following the departure of a number of other brands due to poor management of the group’s executive team and shareholders. According to a source, they include Salomon Eyewear, Land Rover, Naf Naf and Barbapapa.“Since 2012, Tag Heuer has repeatedly shared its concern over the serious problems at play and in 2014 signaled that due to the company’s abnormal operating conditions and poor management we would not be renewing our license,” a Tag Heuer spokesman told WWD.The Paris Tribunal de Grande Instance court, which was due to deliver its verdict on July 4, has suspended the case indefinitely in view of the settlement, according to reports.
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