June 17, 2014 in Business

Judge rules for Macy’s in Martha Stewart case

From Wire Reports
 

NEW YORK – A New York State Supreme Court judge ruled in favor of Macy’s claim that J.C. Penney interfered with a merchandising contract with Martha Stewart Living Omnimedia Inc. when it cut a deal in 2011 under its previous CEO to create a collection of home goods.

But the judge, Jeffrey Oing, said Macy’s failed to prove that Penney was liable for punitive damages because the actions weren’t “malicious” or “immoral.”

Macy’s is still entitled to attorney’s fees and other monetary damages from Penney related to the selling of a line of bath towels, pots and other products that were designed by Martha Stewart but were sold under the JCP Everyday name last year.

Such products were covered by a long-standing exclusive contract between Macy’s and Martha Stewart.

Safeway resolves suit over sale to Cerberus

NEW YORK – Supermarket chain Safeway said Monday that it agreed to resolve a shareholder lawsuit over its pending sale to an investment group led by Cerberus Capital Management.

Safeway said it will terminate its “poison pill” shareholder rights plan on Thursday instead of letting the plan expire in September. Such plans are often used to deter unwanted takeovers. The company also adjusted terms of the deal related to its ownership of Casa Ley, a Mexican food and merchandise retailer.

Shares of Safeway Inc. gained 6 cents to $34.15 in afternoon trading. They have been steady over the past three months but are up 57 percent since a year ago.

In March, Cerberus agreed to buy Safeway for $7.64 billion, or $32.50 per share, in cash. Pending other transactions the deal could top $9 billion, or about $40 per share. As part of the latter deal, Safeway said it would sell its 49 percent stake in the company, and if it failed to do so in four years, shareholders would get a cash distribution equal to the value of its holdings. On Monday, it shortened that period to three years.

Target says glitch slowed its registers

NEW YORK – Target says it has fixed a technical issue that caused delays at registers in some U.S. stores, but stressed that the glitch was not related to a recent data security breach.

The retailer sent a message from its Twitter account late Sunday as shoppers took to social media to complain.

The Minneapolis company did not immediately respond Monday to questions from the Associated Press about what led to the incident or how many stores were affected.

Target Corp. is overhauling its security and technology departments and its systems. In late April, it ousted its CEO and is now looking for a new leader.

Domino’s Pizza offering ‘Siri’-like app

NEW YORK – Domino’s is introducing its own version of Siri.

The pizza delivery chain on Monday introduced a function on its mobile app that lets customers place orders by speaking with a computer-generated voice named “Dom.” The rollout is part of an ongoing push by Domino’s to take business away from rivals and smaller pizza shops by offering more convenient ways to order.

The company, based in Ann Arbor, Michigan, said the updated app for iPhones and Android devices will deliver a “human-like, conversational” experience, but notes that it will take some time to work out the kinks in the technology.

“It is not perfect,” Domino’s CEO Patrick Doyle said in an interview. “This is the sort of thing, like any other really new technology launch, you’re going to learn, you’re going to get better.”


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