The legal battle between Rachel Roy and parent company The Jones Group has finally been put to rest.
Back in March, Jones suddenly stopped the production of Rachel Roy’s designer line without her permission, shut down her show room and fired her employees in preparation for its acquisition by Sycamore Partners. Jones had the intention of selling Roy’s trademark to another company, Bluestar Alliance – this too without Rachel’s approval.
In retaliation, Roy sued Jones Group and was granted preliminary injunction by the New York Supreme Court preventing the sale of her trademarks.
As of a few days ago, Bluestar Alliance is officially out of the picture and Rachel Roy has a new owner.
On Friday, it was announced that Topson Downs, a privately held apparel and manufacturing company based in Los Angeles, purchased a majority equity stake in Rachel Roy including Jones’ 50 percent stake. Topson Downs intends on forming a partnership with Rachel Roy to “develop, market and license” the brand name.
Roy will maintain 100 percent control of her name (sigh of relief) which is inclusive of two brands: Rachel Roy (a higher end designer label) and RACHEL Rachel Roy (a lower-priced line retailed at Macy’s).
Topson Downs, which also produces private label Macy’s brands like Bar III and Material Girl, said that it plans to first expand RACHEL and then relaunch the designer brand.
The brand also has a new president, Denise Johnston, who has experience running companies such as Liz Claiborne, Jack Rogers, and GAP Adult North America.
In a statement, Roy proclaimed:
“My partners and I share a vision on how to nurture and grow brand through strategic investment to position it for great success and longevity. Topson Downs commitment to excellence in manufacturing, retail partnerships, the end-consumer and, above all, the perfect partner to take the brand to the next level.”
SOURCE: Fashionista.com | PHOTO CREDIT: Getty