A judge on Tuesday threw out Todd Oldham’s breach of contract lawsuit against his former employer Old Navy.
U.S. District Court Judge Denny Chin ruled that Oldham’s suit didn’t sufficiently show that Old Navy, the largest unit of Gap Inc., had failed to live up to the parties’ employment agreement.
The retailer hired Oldham as “design creative director” in September 2007. According to the ruling, the parties had a side plan to enter into a separate licensing deal for a Todd Oldham signature line by October 2008.
Negotiations over the trademark collection deteriorated and Oldham’s L-7 Designs Inc. filed its suit against the retailer in February. Old Navy terminated their creative services agreement two days later. Among other allegations, the designer accused Old Navy of breaching the contract by failing to negotiate in good faith on the line.
In granting Old Navy’s motion to dismiss Tuesday, Chin found the retailer had made good faith efforts to strike a deal and did not breach the contract by failing to do so. Instead, Chin wrote that the two sides had negotiated for 10 months and that in January 2009, Old Navy had provided Oldham with a term sheet, which the designer rejected.
“Moreover, L-7 was making extraordinarily high demands,” Chin wrote. “At one point during the discussions, L-7 demanded (through outside counsel) $75 million in compensation for lost royalties and reputational damages. It later demanded a minimum guarantee of $37.5 million in royalties for a three-year-term, which it then later reduced to $20 million for a two-year term.…It is not surprising that Old Navy resisted these demands.”
Oldham on Tuesday vowed to fight the ruling. Tony Longoria, vice president of Todd Oldham Studio, said, “While we are disappointed in Judge Chin’s opinion, we are filing an appeal as soon as possible.”
The judge gave the retailer three days to decide whether it wants to go forward with its counterclaims in the case, which include allegations that L-7 breached its own obligations under the creative services agreement.
@tradesy is turning the concept of a showroom upside down with its new space in Santa Monica. Here, the company plans to hold events, art exhibits and a showcase rare fashion pieces like this Louis Vuitton boxing set. Get all the details on Tradesy’s first showroom on WWD.com. #wwdnews
Spotted last night at the @erdem x @hm launch event: Kate Bosworth, Rashida Jones, Kirsten Dunst and Selma Blair. The party, which took place in LA, also marked the opening of their pop-up shop. “I was interested in creating a collection that wasn’t in any way disposable. It was about pieces you’d create and keep forever, things that have a permanence to it,” designer Erdem Moralioglu said. #wwdeye (📷: Katie Jones)
Renee Zellweger in yellow in 2001 and again in 2017. Chosen as one of the 12 @pantone Leading Spring Colors (and dubbed “Meadowlark”), it only makes sense that the bright hue stands the test of time and is making a resurgence this season, seen already on stars like @blakelively and @gigihadid. (📷: Donato Sardello & @rexfeatures) #wwdfashion #tbt
Dior’s 70th anniversary celebration continues with a new exhibition at the Royal Ontario Museum in Toronto. “Christian Dior,” which is scheduled to run through March 18, takes a look at the founders tenure from 1947 to 1057 and feature 40 designs. Pictured here is an evening gown from the Ailée, fall 1948-49 haute couture collection. #wwdfashion (📷: Brian Boyle)
As one of the most recognizable models in the world, Christy Turlington Burns has an insider’s view of the fashion industry and the allegations of sexual harassment swirling around it. “I can say that harassment and mistreatment have always been widely known and tolerated in the industry. The industry is surrounded by predators who thrive on the constant rejection and loneliness so many of us have experiences at some point in our careers,” Turlington told WWD, along with her suggestions for how the modeling world should protect younger women and men. Read more on WWD.com. Link in bio. (📷: Tony Palmieri) #wwdnews
@asics America has tapped a new brand ambassador: famed DJ/record producer @steveaoki. This initiative is intended to set the tone for the new brand identity and philosophy and will include partnerships with influencers and in-store and off-line activations that will continue into next year. This is Asics’ most significant marketing effort in two decades, and is expected to attract younger consumers to the brand. #wwdfashion
24-year-old Jean Prounis is redefining the rules of jewelry. Formerly a studio assistant to Jemima Kirke and a design apprentice at Ghuran, she focuses on handcrafted subtleties and ancient goldsmithing techniques. “There was a really sterile feel in the environment and I wanted to have jewelry with character that shapes how you wear it everyday,” Prounis said. Each piece is hand made in New York, either by Prounis or three other jewelers in the district. #wwdfashion
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews