New York, May 8, 2013 – Beanstalk, a leading global brand licensing agency and consultancy, has partnered with digital strategy and execution agency, Digital Brand Architects (DBA), to build a licensing program for two of their most acclaimed digital brands: Bag Snob and Mrs. Lilien.

The wildly popular world of blogging has evolved into more than just a hobby over the past few years, with bloggers now acting as trusted taste-makers and influential style arbiters to their loyal following of readers. Fashion blogging royalty Bag Snob and digital bon vivant Mrs. Lilien have taken the social media and digital world by storm with the fun reviews and savvy tips that they share with their audiences on a daily basis. Through both of their powerful digital platforms, consumers utilize Bag Snob’s and Mrs. Lilien’s editorial content as a powerful commercial tool that allows them to purchase highlighted products from retailers in just one click.

Snob Essentials, a new fashion brand from Snob Global Media’s leading blog, Bag Snob, will capitalize on the Snobs’ keen eye for designer details and authority in high-end fashion across multiple categories, including handbags, denim and footwear. The global collection will fill an unmet market need by offering fashion and accessories developed with high-quality, sophisticated, functional designs and eye catching details at more affordable price points. Snob Essentials will offer the key essential items that every woman needs to build her wardrobe, with the coveted Snobs seal of approval. “I am elated to begin a partnership with Beanstalk,” says Co-founder/Chief Editor of Snob Global Media, Tina Craig. “Their pristine reputation as the best in the licensing business is world-renowned. Beanstalk’s eclectic experience runs the gamut and under the guidance of their highly capable team, I look forward to growing our brand globally and fulfilling its maximum potential.”

Mrs. Lilien’s licensing program will leverage her colorful and exuberant personality, expertise in styling and ability to turn the mundane into the magical with just a few simple changes. Blending humor, a touch of luxury and a retro sensibility fused with the latest trends and innovations, Mrs. Lilien will offer a collection of products that transform every home, party and fashion product from ordinary into colorful and extraordinary. Mrs. Lilien comments, “I’m effervescently thrilled about the prospect of my upcoming product line! A collection of MRS-esque wares by my very own design has been, without doubt, a lifelong goal of mine!” Beanstalk will pursue partners in the social expressions, gift, novelty, tabletop, barware, domestic arts and other home décor and fashion oriented categories for Mrs. Lilien.

“We are thrilled to be partnering with DBA to expand Bag Snob and Mrs. Lilien to corresponding product collections,” says Rachel Terrace, vice president of brand management at Beanstalk. “Both brands act as go-to-destinations for inspiration in their respective categories and we know that consumers will be ecstatic about them bringing their impeccable style and authoritative voices to life.”

About Beanstalk
Beanstalk, a global brand licensing agency and consultancy, extends brands through the strategic and creative development of licensed products. The company works with corporate brands, celebrities, entertainment properties, and other high-profile clients to leverage licensing as a strategic tool to enhance brand awareness, increase consumer touch-points, and generate revenue. Beanstalk also offers a breadth of additional licensing services including direct-to-retail program management, license acquisition for manufacturers and royalty auditing. The company is headquartered in New York, with offices in London, Los Angeles, Miami, and Hong Kong, and affiliates throughout the world. For more information, please visit www.beanstalk.com. Beanstalk is a part of Diversified Agency Services, a division of Omnicom Group Inc.

About Diversified Agency Services
Diversified Agency Services (DAS), a division of Omnicom Group Inc. (NYSE:OMC) (www.omnicomgroup.com), manages Omnicom’s holdings in a variety of marketing communications disciplines. DAS includes over 200 companies, which operate through a combination of networks and regional organizations, serving international and local clients through more than 700 offices in 71 countries.

About Omnicom Group Inc.
Omnicom Group Inc. (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 100 countries.

About DBA
DBA is a transformative boutique agency that expertly juxtaposes digital communications and curation marketing with talent management of online influencers. Rooted in marketing and branding, their guiding philosophy is to always stay true to the core DNA of their clients while elevating the social media conversation through practical application and creative engagement. Holistically combining all facets of brand building online and off – advertising, marketing, public relations, events and e-commerce – their approach builds awareness, drives traffic and elevates the brand voice forward. Operating under these distinct and separate arms, DBA’s global reach includes offices in New York, Los Angeles and Milan.

About Snob Global Media
Co-founders/Chief Editors of Snob Global Media, Tina Craig and Kelly Cook launched Bagsnob.com in 2005. With a combined 20 years of experience in the fashion and entertainment industries, they have created a brand that appeals to 16 and 60 years old alike. The snobs offer honest, analytical reviews of handbags, beauty, couture, jewelry, shoes and children’s fashion items that provide readers with taste-making tends. The site has over 300,000 unique visitors per month and Snob Global Media now covers six separate online channels: Bag Snob, Beauty Snob, Couture Snob, Jewel Snob, Shoe Snob and Tot Snob.

About Mrs. Lilien
A coveted “life stylist,” graphic designer and digital bon vivant, Mrs. Lilien has a widely popular blog referred to as the go-to destination for inspiration. Sharing her must-have lists and favorite new finds across home, fashion, “the domestic arts” and the art of entertaining, Mrs. Lilien is a style fairy godmother on a mission to help us all live more colorful, bold and indulgent lives. Mrs. Lilien is the chief ambassador of the elevated lifestyle, the arbiter of pop chic and is a blogess extraordinaire.

London, April 22th, 2013 – BIG JOHN, Japan’s first domestic denim brand, today announced plans to extend the brand in Asia, working with leading global brand licensing agency, Beanstalk.

Established in Japan in 1940, BIG JOHN launched the first genuine Japanese denim fabric and fashion jeans developed after the founder, Koptaro Ozaki, visited the US and saw the huge potential for denim in the Japanese market. The brand was also the first commercially washed denim jean in the market, and today is one of Japan’s leading denim lifestyle brands, worn by style leaders who value the brand’s rich heritage and contemporary styling. Grace Mind, Asia’s leading brand management, distribution and licensing company with unrivaled market coverage in Greater China, is BIG JOHN’s master licensee.

Beanstalk plans to extend the brand across Northern Asia, with an initial emphasis on China, Hong Kong and South Korea. Brand extension will focus on the core denim collection and complementary accessories which will leverage the authentic, premium lifestyle image of the BIG JOHN brand.

John Wong, CEO, of Grace Mind, comments, “BIG JOHN holds a unique and special place in global denim history and culture. Japanese denim is revered worldwide for its quality and superior styling, and today’s educated consumer in Asia truly values the authenticity and heritage of the BIG JOHN brand. We are delighted to be working with Beanstalk and are looking forward to broadening the reach of the BIG JOHN brand in Asia with Beanstalk’s help.”

Josephine Law, Beanstalk’s Managing Director, Asia, said, “Few brands can boast the combination of genuine Japanese heritage and innovative product development that the BIG JOHN brand possesses. We are excited to be working with one of the region’s leading denim lifestyle brands as we continue to grow Beanstalk Asia’s roster of world class fashion, celebrity and corporate clients.”

Ciaran Coyle, Managing Director, International said, “We anticipate strong demand from consumers across Asia who value BIG JOHN’s premium quality and cool, contemporary image. The engagement by BIG JOHN signals the start of what we anticipate will be a significant year of growth for Beanstalk in the region, and is part of our strategic initiative to grow our portfolio in the area of fashion lifestyle”.

About BIG JOHN
For over 70 years, BIG JOHN has been the leading denim brand in Japan. Founder Koptaro Ozaki was a true pioneer, launching the first Japan-made denim and denim fashions in the Japanese market and creating the foundations of innovative tradition that still drive the company today. BIG JOHN can be found in leading jeanswear and department stores throughout Japan and in leading international jeanswear markets.

About Beanstalk
Beanstalk, a global brand licensing agency and consultancy, extends brands through the strategic and creative development of licensed products. The company works with corporate brands, celebrities, entertainment properties, and other high-profile clients to leverage licensing as a strategic tool to enhance brand awareness, increase consumer touch-points, and generate revenue. Beanstalk also offers a breadth of additional licensing services including direct-to-retail program management, license acquisition for manufacturers and royalty auditing. The company is headquartered in New York, with offices in London, Los Angeles, Miami, and Hong Kong, and affiliates throughout the world. For more information, please visit www.beanstalk.com. Beanstalk is a part of Diversified Agency Services, a division of Omnicom Group Inc.

About Diversified Agency Services
Diversified Agency Services (DAS), a division of Omnicom Group Inc. (NYSE:OMC) (www.omnicomgroup.com), manages Omnicom’s holdings in a variety of marketing communications disciplines. DAS includes over 200 companies, which operate through a combination of networks and regional organizations, serving international and local clients through more than 700 offices in 71 countries.

About Omnicom Group Inc.
Omnicom Group Inc. (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 100 countries.

About Grace Mind
Founded in 2011, Grace Mind is Asia’s leading brand management, distribution and licensing company with unrivalled market coverage in Greater China. In 2012, Grace Mind was appointed the Master Licensee of BIG JOHN Corporation, based on the company’s entrepreneurial approach and passion for the brand. Grace Mind represents all brands of BIG JOHN Corporation, including BIG JOHN, BRAPPERS, GLHEART & GEORGIA LOVE. Grace Mind is the subsidiary company of Gloss Mind Apparel. As an apparel pacesetter, Gloss Mind has over 30 years of experience in production and has been granted the international standard ISO9001 Certification. Grace Mind provides ODM/OEM services to global brands including Disneyland, Esprit, Giordano, Hugo Boss, Jack & Jones, Lacoste, and Levis.

Like an awkward Hollywood love triangle, the J.C. Penney, Martha Stewart and Macy’s saga continued last week as the three fought over Justice Jeffrey K. Oing’s April 5th decision to temporarily allow J.C. Penney to sell Martha Stewart-designed products under the JCP Everyday label.

Macy’s appealed the Justice’s decision, which temporarily blocked J.C. Penney until Thursday afternoon when the New York State Supreme Court Appellate Division ultimately denied the appeal, allowing J.C. Penney to move forward with selling Martha Stewart unbranded goods. (However, Macy’s already filed another appeal, so whether or not this sticks is to be determined.)

Shoppers arrive at a J.C. Penney store at the Ford City Mall on January 26, 2012 in Chicago, Illinois. (Image credit: Getty Images via @daylife)

Appeal or not, a favorable ruling isn’t necessarily a victory in the overall scheme of things for J.C. Penney. This battle has cost the company dearly, and I suspect members of executive leadership and shareholders are also realizing that more harm than good has come to the company and its brand.

What is J.C. Penney Now?

After embroiling the company in controversy with seemingly no end in sight, there’s no question that J.C. Penney’s board was forced to remove Ron Johnson. Unfortunately, the timing couldn’t have been worse.

Johnson was in the process of a major brand transformation, turning J.C. Penney, which was arguably in its twilight years and keeping itself afloat with jaw dropping discounts into ‘JCP,’ an aspiring brand heavyweight. The jury is still out on Johnson’s strategy. However, with Mike Ullman in the executive chair and already back to his discounting ways, there’s confusion over what J.C. Penney is — a discounting mid-tier retailer or a quality brand establishment?

What Johnson did succeed in doing, at least in part, is identify the company’s true north. Successful retailers are home to successful brands. By eliminating discounts and creating a store-within-a-store model that could support new brands like Joe Fresh, Jonathan Adler and Liz Claiborne, Johnson was on track to make J.C. Penney a desirable destination for potential brand partners. For a company that desperately needs new brands, potential suitors will be less likely to sign on knowing their product will likely be severely discounted under what appears to be the newest strategy.

What’s Martha without Martha?

The home category has been a thorn in the side of J.C. Penney for years. It has made a few attempts to compete with Macy’s Martha Stewart Living, most notably with American Living. However, the brand was only in apparel and bedding and ultimately couldn’t become the cross-category brand needed to compete with Martha.

Now, J.C. Penney will attempt to capture some of that success by selling Martha Stewart product as permitted by the court, but they will have to do so largely without the help of the Martha Stewart name. Under the judge’s ruling, J.C. Penney is barred from using the Martha Stewart name on product, as well as across all forms of marketing.

Martha Stewart testifies in Manhattan Supreme Court March 5, 2013 In New York City. (Image credit: Getty Images via @daylife)

To be clear, J.C. Penney is allowed to use Martha Stewart’s name on other products for which Macy’s does not have an exclusive agreement, such as window coverings and stationery, generally small categories. But everything else will have to fall under the JCP Everyday brand label and not be marketed close to the Martha branded products; a less than ideal scenario considering the most valuable part about the Martha Stewart brand is the name.

From the consumer’s perspective, there’s bound to be confusion. Again, is the store and the brand JCP or J.C. Penney? Is this product Martha Stewart or JCP Everyday? Consumers connect with brand names and when you disrupt their ability to identify and locate product, they will go to who they know consistently provides them what they need. For home products, in this case, that’s Macy’s. Further, consumers like going to stores that are consistent with their product, price and brand expectations. They don’t know what to expect anymore when they walk into a J.C. Penney. Or is it JCP?

I hope sales (and consumers) prove me wrong, because J.C. Penney (and all of us as consumers) needs this to work. Unfortunately for them, best-case scenario is also worst-case scenario because Macy’s is allowed to return and claim financial damages once sales numbers are in. And I bet they will.

http://www.forbes.com/sites/michaelstone/2013/04/22/j-c-penney-faces-brand-identity-crisis-on-multiple-fronts/

Sport and lifestyle brand Oakley recently commenced a lawsuit against Rory McIlroy and Nike, claiming McIlroy entered into a broad “head to toe” equipment, apparel and footwear endorsement agreement with Nike in breach of the right of first refusal provision in his prior endorsement agreement with Oakley that expired on December 31, 2012. The right of first refusal provision granted Oakley the right, but not the obligation, to match any terms offered to McIlroy by a third party “regarding the endorsement of products the same as or substantially similar to the [p]roducts” in his agreement with Oakley (i.e., eyewear, apparel and accessories). The complaint itself raises legitimate questions as to whether Oakley, together with a third party equipment manufacturer, could have possibly matched Nike’s potentially record-breaking terms, rumored to be in the range of $200-$250 million. And Oakley may have waived its first refusal rights when a marketing manager at Oakley named Pat McIlvain sent an email to McIlroy’s agent, Conor Ridge, that stated: “Understood. We are out of the mix. No contract for 2013. Pat Mac.” Nonetheless, assuming for the sake of argument that McIlroy breached his contractual right of first refusal obligations to Oakley, what are Oakley’s available remedies and how challenging would it be for Oakley to enforce its rights?

Rory McIlroy (Photo credit: Wikipedia)

Injunctive Relief And Specific Performance

The complaint alleges that McIlroy’s breach has caused Oakley to suffer irreparable damages that entitle Oakley to the remedy of an injunction prohibiting McIlroy from endorsing Nike’s products. However, courts are generally hesitant to grant such relief so a plaintiff seeking the remedy of an injunction must do more than simply allege irreparable damages. According to most courts, Oakley must establish that it is likely to succeed on the merits, that it is likely to suffer irreparable harm in the absence of injunctive relief that cannot be properly addressed by monetary damages, that the balance of equities tips in its favor, and that an injunction is in the public interest. Further, one must question what Oakley is seeking to achieve. Is Oakley merely posturing for a more favorable settlement, is it pursuing a conversion of its right of first refusal into the equivalent of a non-compete obligation, or does Oakley have bona fide aspirations to specifically enforce its right of first refusal to have McIlroy (who is now a lawsuit adversary) continue endorsing Oakley’s products? The remedy for a breach of a personal services agreement is usually limited to monetary damages unless the services are unique. Even if Oakley successfully asserts that McIlroy’s services are unique, based on the Thirteenth Amendment to the Constitution that prohibits slavery, courts will never specifically enforce a personal services agreement by ordering an individual to continue performing services. The most state law will permit in the context of specific performance for a breach of a personal services agreement is the equivalent of a non-compete obligation. But by analogy, courts will not enforce a non-compete obligation unless it does not impose an undue hardship on the individual, is not unduly harmful to the public, is subject to reasonable limitations as to time, geographical area and prohibited scope of activity, and is necessary to protect the enforcing party’s legitimate interests (e.g., avoiding the misuse of its trade secrets, confidential information or customer relations). The bottom line is it would be quite challenging for Oakley to meet the burden of all of the foregoing conditions required to receive injunctive relief or the benefits of the equivalent of a non-compete and Oakley cannot legally compel McIlroy to continue performing endorsement services for it.

Monetary Damages And Mitigation Of Damages

In the absence of injunctive relief or specific performance, Oakley’s potential remedy is limited to monetary damages. But what would be the correct measure of such damages? In particular, the law does not permit a recovery of damages that are merely speculative. The non-breaching party must prove its damages providing evidence establishing to a reasonable certainty the nature and extent of the probable loss it has sustained or will in the future sustain. Contractual losses cannot be demonstrated by conjecture, indeterminate estimates or mere assumptions, but must be substantiated by concrete facts. It would be difficult to quantify the benefit Oakley received as a result of its endorsement agreement with McIlroy. How much more so would it be for Oakley to prove with a fair degree of certainty the measure of damages and loss it will incur from McIlroy’s breach.

Further complicating any attempt to measure Oakley’s monetary damages is the well-established legal principle of mitigation of damages. Under the mitigation of damages doctrine, a party that suffers damages as a result of a breach of contract has a legal duty to mitigate those damages by taking reasonable action, wherever practicable, to avoid additional injury and minimize its loss. In other words, in the eyes of the law, it would not be fair or reasonable to increase the amount of monetary damages payable by a breaching party by having it be responsible for losses of the aggrieved party that are reasonably avoidable. In this case, Oakley has already correctly taken steps to mitigate its losses by signing professional golfers Bubba Watson and Zack Johnson as endorsers for its products for the 2013 season. Nevertheless, such actions by Oakley to properly support its business and minimize its losses will only make it more challenging for Oakley to prove with a fair degree of certainty the measure of damages it will incur resulting from McIlroy’s breach as reduced by its mitigation of damages in engaging alternative endorsers.

Rory McIlroy (Photo credit: Wikipedia)

What Should Brand Owners Do?

Given the serious challenges in enforcing the right of first refusal provision as described above, going forward, Oakley and other brand owners may wish to consider including a liquidated damages provision in their endorsement agreements that specifies a certain dollar amount to be paid in the event of a breach. The provision would constitute the parties’ agreement on reasonable damages in light of the anticipated or actual harm caused by a breach, the difficulties of proof of loss, and the inconvenience or nonfeasibility of otherwise obtaining an adequate remedy. To determine if a liquidated damages provision is enforceable, courts will usually ask the following two questions:

1. When the agreement was entered into, was it apparent that damages would be difficult to calculate in the event of a breach?

2. Was the amount set in the agreement a reasonable estimate of the damages and not excessive?

If the answers to both these questions are yes, the provision will likely be enforced. A liquidated damages provision does not preclude other relief to the non-breaching party, so the agreement should clearly state such remedy shall not be exclusive of any other remedies available to the brand owner, nor shall it be deemed an election of remedies by the brand owner. Finally, if the agreed sum is excessive, not fair and reasonable, or otherwise not rationally related to the damages that the brand owner might conceivably sustain by reason of a breach, the provision will be considered a penalty and deemed void as against public policy. To prevent this result, brand owners should endeavor to establish and document some reasonable relationship between the anticipated harm caused by a breach and the agreed amount of liquidated damages.

http://www.forbes.com/sites/oliverherzfeld/2013/03/19/oakley-v-rory-mcilroy-and-nike-enforcing-rights-of-first-refusal-in-endorsement-agreements/

In the recent case of Abraham v. Alpha Chi Omega, the Fifth Circuit Court of Appeals issued an opinion regarding a fascinating dispute that involved a failure to enforce trademarks for more than 40 years.

Source: Paddletramps.com

Background

Thomas Kenneth Abraham is the world’s largest manufacturer of decorative fraternity and sorority paddles. Since founding his business in 1961, Abraham continuously advertised and sold products bearing the names of fraternities and sororities. In 1990, after almost 30 years of inaction, representatives of 32 fraternities and sororities commenced contacting Abraham. The various communications consisted of invitations to join the Greek organizations’ licensing programs, cease and desist letters and threats to sue for trademark infringement. Sometimes Abraham ignored the letters and other times he responded stating that he refused to enter into a license agreement after decades of use without complaint. After another 17 years of intermittent communications, in 2007 and 2008, the parties’ dispute escalated into litigation. The district court decided against monetary relief but granted an injunction, and all of the parties appealed.

Laches And Unclean Hands

Abraham did not dispute the Greek organizations’ claims of trademark infringement but maintained a defense of laches, which is an equitable doctrine that an infringer may assert when a trademark owner inexcusably “sleeps on its rights” and the delay prejudices the infringer. The Greek organizations claimed Abraham was not entitled to a laches defense because he had unclean hands. Essentially, a defendant that intentionally infringes a trademark in bad faith does not have the clean hands necessary to assert the defense of laches. However, the Fifth Circuit rejected that counter-defense since Abraham lacked bad faith or any intent to confusingly deceive his purchasers. In particular, Abraham virtually created the market for fraternity and sorority paddles long before the Greek organizations established a licensing program, and his intent was always to sell paddles to fraternity and sorority members, not pass himself off as being sponsored or endorsed by the Greek organizations.

Monetary Damages and Injunctive Relief

Abraham’s successful laches defense created an implied, revocable trademark license that barred monetary damages. However, laches may or may not defeat claims for injunctive relief. It all depends on the degree to which the trademark owners’ unreasonable delay prejudiced the infringer. In balancing the equities, the district court enjoined Abraham from selling almost all of his infringing products since they made up less than 2.44% of his total sales, but permitted him to continue selling one type of infringing product, namely decals of the Greek organizations’ crests purchased wholesale from licensed vendors to be affixed to a backing carved in the shape of the Greek organizations’ crests, that drove his sales of non-infringing paddle kits, because it was the only item that Abraham claimed would cause him substantial prejudice if enjoined.

On appeal, the Greek organizations argued that the district court’s injunction was not broad enough. They claimed their delay was excusable since Abraham’s use was always minimal and, under the doctrine of progressive encroachment, a trademark owner is permitted to defer enforcement against de minimis infringers, reserving its right to sue when the infringement expands, causing increased or more imminent potential harm to the owner. The Fifth Circuit rejected that claim and affirmed the district court’s balance of equities and judgment since several milestones along the critical path of Abraham’s business over the decades (such as the development of his website in 1997 and commencement of sales on the site in 2001) constituted a progressive encroachment that the Greek organizations had failed to respond to. And Abraham was substantially prejudiced by the Greek organizations’ delay, insofar as he would not have invested millions of dollars to completely rebuild his business three times (twice after fires and once after a tornado) had he known the Greek organizations would later sue him to enforce their trademarks.

Source: Paddletramps.com

What Should Trademark Owners Do?

Trademark owners should diligently protect their trademarks from infringement and other misuse (e.g., blurring, tarnishment, unfair competition, passing off, false advertising and cybersquatting) that may harm the owner’s goodwill and business reputation. A trademark owner is not required to uncover all possible uses that might conflict, or immediately commence a lawsuit against every possible infringer. At the same time, a complete failure to enforce will lead to a weakening of an owner’s marks, loss of distinctiveness over time and, as we saw in this case, potential forfeiture of certain available remedies. So, at a minimum, owners should establish an appropriate level of proactive monitoring of USPTO registration applications, the Internet and other uses in commence. Companies with famous trademarks and/or large budgets should consider engaging a professional watch service to conduct such search and monitoring activities, whereas companies with more limited budgets could ask their employees, contractors, customers, licensees and counterparties to look out for and report any potential infringements that may come to such parties’ attention. When potential infringements are identified, trademark owners should investigate and evaluate relevant factors such as the third party’s ownership, priority of use, type of use and likelihood of confusion. If a response is warranted, owners should consider and pursue the most desired outcome including monetary damages, injunctive relief, a trademark license agreement, coexistence agreement or settlement agreement. Lawsuits and cancellation or opposition proceedings with the USPTO’s Trademark Trial and Appeals Board can be costly in terms of time, money and resources, so legal enforcement priorities should be established based on similarity of the marks, similarity of the goods, quantities of infringing products, dollar values and other appropriate considerations. Low level infringers may not be cost-effective to pursue. Nonetheless, trademark owners should continue to periodically monitor such infringers and remain ready to vigorously enforce their rights if the infringement expands, causing increased or more imminent potential harm to the owner. That way, the owner can avoid getting paddy-whacked later with a weakened mark and loss of remedies.

http://www.forbes.com/sites/oliverherzfeld/2013/02/28/failure-to-enforce-trademarks-if-you-snooze-do-you-lose/

NEW YORK, February 5, 2013 – Beanstalk, a leading global brand licensing agency, today announced the appointment of finance veteran Marc Schneider as Chief Financial Officer. In his role, Schneider will be responsible for all aspects of Beanstalk’s global Finance and Operations including overseeing management of the agency’s best-in-class financial systems and platforms. Schneider will also be the primary liaison to the corporate financial team of Omnicom Group, Beanstalk’s parent company.

“We are pleased to have Marc join the Beanstalk team. Marc’s proven operational and financial leadership in managing and growing profitable businesses, as well as knowledge of the licensing industry, will be a tremendous asset to supporting our continuous agency growth.” said Michael Stone, Chief Executive Officer. “With over 25 years of experience, he is well versed in the reporting requirements of large, multinational companies as well as smaller entrepreneurial organizations.”

Schneider will also be working directly with Stone and other leaders at Beanstalk to facilitate short-term and long-range strategic planning activities across the company to grow Beanstalk in the U.S. and internationally.

Schneider began his career at CBS Inc., where he held various finance positions focused on sales forecasting and analysis for the network’s programming. Schneider then moved to Sesame Workshop where he spent 15 years. He served as Chief Financial and Administrative Officer of Global Consumer Products and International TV. In his other positions there, he managed areas including Corporate Finance and Strategic Planning, Business Development, book publishing, and interactive technology. Schneider also spent time at HIT Entertainment as the SVP and General Manager for live events and themed attractions. Most recently, he managed his own consulting practice, Linchpin Consulting Group, LLC, providing profitable business development and financial and management services to diverse companies.

Schneider received his BA in Economics at Brandeis University and his MBA in Finance and Marketing from University of Chicago Booth School of Business.

About Beanstalk
Beanstalk, a global brand licensing agency and consultancy, extends brands through the strategic and creative development of licensed products. The company works with corporate brands, celebrities, entertainment properties, and other high-profile clients to leverage licensing as a strategic tool to enhance brand awareness, increase consumer touch-points, and generate revenue. Beanstalk also offers a breadth of additional licensing services including direct-to-retail program management, license acquisition for manufacturers and royalty auditing. The company is headquartered in New York, with offices in London, Los Angeles, Miami, and Hong Kong, and affiliates throughout the world. For more information, please visit www.beanstalk.com. Beanstalk is a part of Diversified Agency Services, a division of Omnicom Group Inc.

About Diversified Agency Services
Diversified Agency Services (DAS), a division of Omnicom Group Inc. (NYSE:OMC) (www.omnicomgroup.com), manages Omnicom’s holdings in a variety of marketing communications disciplines. DAS includes over 200 companies, which operate through a combination of networks and regional organizations, serving international and local clients through more than 700 offices in 71 countries.

About Omnicom Group Inc.
Omnicom Group Inc. (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 100 countries.

London,  February 4th, 2013 – Chewits, the iconic British confectionery brand owned by Leaf U.K., today announced plans to extend the brand through licensing, represented by leading global brand licensing agency, Beanstalk.

First established in the U.K. in 1965, Chewits claimed nationwide fame when brand mascot Chewie the Chewitsaurus appeared in the legendary ‘Monster Muncher’ adverts aired in the 1970s. Limited edition flavours released over the years, such as Ice-Cream and Rhubarb & Custard, gained popular notoriety leading to online petitions to bring them back. Today the Chewits brand is as loved by the British nation as ever. This true heritage confectionery brand is in double-digit growth and is ranked one of the top 50 FMCG Facebook brands in the U.K., with over 300,000 Facebook fans.

Leaf U.K. and Beanstalk plan to extend the Chewits brand into close-to-core food and non-food categories which leverage all the fun, flavour and legendary “chew factor” of Chewits.

Hollie Roberts, U.K. Consumer Marketing Manager at Leaf U.K. comments, “Having invested heavily in design and social media, the Chewits brand has been experiencing great momentum and we are confident that the time is now to make the strategic move into brand licensing. We are delighted to be doing this represented by Beanstalk, one of the top names in brand licensing, and we are looking forward to taking our brand to the next level.”

Ciarán Coyle, Beanstalk’s Managing Director, International, said, “Few brands can boast the heritage of a true British confectionery brand like Chewits can. An emotional connection is the number one essential ingredient for a brand when considering licensing and the Chewits brand is as relevant to consumers today as ever. We are thrilled to welcome Chewits to Beanstalk’s client roster as we continue our growth in the food category.”

*Source – socialbakers.com

About Chewits
Established in 1965, Chewits is a much loved chewy sweet brand. Renowned for its chewy stick packs, which are available in eight fun flavours including two daring Chewits Xtreme sour variants, Chewits produce a range of sugar confectionery products designed especially for children.

Chewits is owned by LEAF, a leading confectionary company with focus on candy, gum and pastilles. LEAF has a leading position in the Nordic countries, the Netherlands, Belgium and Italy. In total, LEAF products are sold in more than 50 countries worldwide. LEAF owns some of the strongest brands on the market, e.g. Läkerol, Jenkki, Malaco, Sportlife, Saila, Red Band, Venco, Sperlari, Mynthon and Ahlgrens Bilar, all of them with local heritage.

In 2012 LEAF merged with Cloetta, a leading confectionery company in the Nordic countries, the Netherlands and Italy who reported pro forma net sales of 5.6 billion in 2011, a operating profit excluding items affecting comparability of SEK 582 million and approximately 2,600 employees. For more information, visit www.cloetta.com

About Beanstalk
Beanstalk, a global brand licensing agency and consultancy, extends brands through the strategic and creative development of licensed products. The company works with corporate brands, celebrities, entertainment properties, and other high-profile clients to leverage licensing as a strategic tool to enhance brand awareness, increase consumer touch-points, and generate revenue. Beanstalk also offers a breadth of additional licensing services including direct-to-retail program management, license acquisition for manufacturers and TransAct™ licensing program administration. The company is headquartered in New York, with offices in London, Los Angeles, Miami, and Hong Kong, and affiliates throughout the world. For more information, please visit www.beanstalk.com. Beanstalk is a part of Diversified Agency Services, a division of Omnicom Group Inc.

About Diversified Agency Services
Diversified Agency Services (DAS), a division of Omnicom Group Inc. (NYSE:OMC) (www.omnicomgroup.com), manages Omnicom’s holdings in a variety of marketing communications disciplines. DAS includes over 200 companies, which operate through a combination of networks and regional organizations, serving international and local clients through more than 700 offices in 71 countries.

About Omnicom Group Inc.
Omnicom Group Inc. (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 100 countries.

Following cyclist Lance Armstrong’s recent, but less than fully contrite, admission to Oprah Winfrey that for more than a decade he (i) used performance enhancing drugs, and (ii) repeatedly made false public statements denying that he did so, on January 22, 2013, a federal class-action lawsuit was filed in California against Armstrong and his book publishers, Penguin and Random House. The suit accuses the defendants of fraud and false advertising in connection with Armstrong’s books, Every Second Counts and It’s Not About the Bike because they include repeated false denials of Armstrong’s use of banned substances. According to the complaint, the books were sold “based upon the false belief that they were true and honest works of nonfiction when, in fact, [the d]efendants knew or should have known that these books were works of fiction.” The plaintiffs are not limiting their requested remedy to the purchase price of the books. Instead, they are seeking “any statutorily permissible damages, attorneys’ fees, expenses and costs.” And, based on prior cases, additional claims and causes of action may be brought against the defendants.

Lance Armstrong (Photo credit: Cain and Todd Benson)

Are the readers’ claims likely to stand up in court? The answer is “it depends.” Armstrong is certainly exposed to consumer fraud claims since the facts suggest he may have intentionally lied and mislead his readers into buying books they otherwise would not have purchased. Other potential claims such as unjust enrichment could be rendered moot if the publishers agree to issue refunds. Still other types of claims would likely be dismissed as too speculative. For example, last April, author Greg Mortenson was sued for fabricating portions of his best-selling books Three Cups of Tea and Stones Into Schools that were advertised as nonfiction accounts of the author’s efforts to build schools in Asia. In that case, the judge dismissed the lawsuit, ruling the plaintiffs’ racketeering allegations and other claims were too speculative, “overly broad” and “fraught with shortcomings.”

With respect to Armstrong’s publishers, the plaintiffs may have more of an uphill battle since pursuant to First Amendment principles, publishers are not legally responsible for verifying the accuracy of every book’s contents and all the factual claims made by their writers. There are some limited exceptions to the preceding broad legal shield, such as when a publisher establishes a duty of care by carrying out its own investigation or analysis of a product or service and explicitly holds itself out as having done so, but that does not appear to be the case here. Nonetheless, Penguin and Random House could potentially be held liable for false advertising if they independently republished any of Armstrong’s false statements in their advertising or other marketing materials to promote sales of his books because such materials may be deemed “commercial speech” to propose a commercial transaction and, therefore, subject to only a limited measure of protection under the First Amendment.

Cover of Every Second Counts

Based on the foregoing, to minimize the time, cost and expense of litigation and avoid the risk of an adverse ruling, the most likely outcome in this case is that Armstrong and his publishers will settle with the plaintiffs – without admitting any wrongdoing. That is precisely what the publisher of The Beardstown Ladies’ Common-Sense Investment Guide did in 2001 to settle a class action lawsuit claiming the reported investment record of the retired Illinois women was false and misleading. In response to that lawsuit, Hyperion, a division of Disney, took the Beardstown books out of print and settled with an offer to exchange any such book for certain other Hyperion titles. Similarly, in 2006, after author James Frey admitted that portions of his memoir A Million Little Pieces were less than truthful, his publisher, Random House, agreed to settle readers’ legal claims by paying $2.35 million which included customer refunds, lawyers’ fees for both sides, and a donation of $180,000 to the American Red Cross, the Hazeldon addiction treatment center and First Book. Given the current widespread sense of betrayal and extreme negative sentiments towards Armstrong, I believe he and his publishers may consider themselves fortunate if they are able to compromise and settle their readers’ legal claims on similar terms.

http://www.forbes.com/sites/oliverherzfeld/2013/01/29/lance-armstrong-will-likely-settle-readers-claims-and-admit-no-wrongdoing/

From products based on the heart-pumping novel 50 Shades of Grey, to Band-Aid’s use of an app to create augmented reality featuring the Muppets, to HGTV-branded live plants, 2012 was chock-full of innovative brand extensions. So, before 2013’s brand innovations steal the limelight, let’s take one last look at last year’s best licensed partnerships.

 Angry Birds’ Partnership with Star Wars

In a mere 2 ½ hours following the release of its new Star Wars version, Rovio’s Angry Birds rose to the top of the U.S. app charts. Angry Birds has employed a successful strategy of releasing new versions of its popular game to keep the brand fresh and to maintain popularity, such as its Rio and Space editions. Its partnership with Star Wars, one of the most iconic brands in popular culture, is a brilliant move for both brands.

 Justin Bieber’s Someday/Girlfriend Fragrances

Someday was a huge success in 2011, recording over $3 million in sales within the first three weeks of its launch. This year, the scent won the 2012 Elizabeth Taylor Fragrance Celebrity Award for its unique approach of targeting female consumers with a male celebrity-branded fragrance. Follow-up scent Girlfriend arrived in the summer and was promoted extensively via digital channels to Bieber’s droves of female fans.

HGTV HOME Plants

HGTV HOME (full disclosure: a Beanstalk client) has developed full circle engagement with its consumer, using its trusted television channel to deliver home and garden improvement advice and give consumers the tools to make those improvements using HGTV licensed products. Last Spring, HGTV launched its HGTV HOME Plant Collection at garden centers nationwide just in time for Mother’s Day. The line offers a fresh take on gardening solutions, taking the guess work out of plant selection with carefully chosen mixed varieties.

Band-Aid Magic Vision Featuring Disney’s The Muppets

Through augmented reality, the Band-Aid® Magic Vision app transforms any Band-Aid bandage featuring Disney’s The Muppets into a stage to entertain away the hurt. After the bandage has been applied, children can point their phone or tablet over it, and a Muppet character appears to emerge from the bandage to serenade the child. What an innovative way to distract from a boo-boo!

Victoria’s Secret Partnership with the NFL

Partnering with the National Football League to create the PINK NFL Collection, Victoria’s Secret is appealing to the fastest growing fan demographic of the sport – females. Lingerie and other women’s clothing, such as hoodies, sweats, tank tops, underwear and sports bras, will bear each team’s officially-licensed logos and were made available within Cowboys Stadium in September – the first pro sports venue to offer such branded clothing. Since then, M&T Bank Stadium and MetLife Stadium, among many others, have also started offering the line for their teams.

BISSELL & Febreze Carpet Cleaning Products

Procter & Gamble (full disclosure: a Beanstalk client) licensee BISSELL HomeCare, Inc. launched several carpet cleaning products with Febreze® in 2012. As one of the most trusted brands in floor care, BISSELL is taking floor cleaning to a new level by introducing a line of co-branded and branded Febreze-scented products including carpet cleaning powder, carpet cleaning high-traffic foam, carpet deodorizing powder, carpet stain wipes, and vacuum bags and filters.It’s a “Febreze Inside” concept.

Jessica Simpson’s Collaboration with Destination Maternity

There’s no doubt Jessica Simpson knows clothing and accessories. In fact, her products in those categories put her at an estimated worth of $100 million, according to Forbes. With consumers clearly wanting more of Jessica Simpson, her new line of maternity wear in collaboration with Destination Maternity is a natural extension of a brand already in high demand.

Food Network Kitchens at Airports

In partnership with hospitality giant Delaware North, the Food Network Kitchen launched as a fast-casual restaurant and gourmet market that takes on-the-go dining to a whole new level. Opened first at Fort Lauderdale’s local airport in the JetBlue terminal, and inspired by the actual test kitchens at the Food Network studios, this delicious concession option is a welcome alternative to the often subpar food options found in most terminals. Another Food Network Kitchen is scheduled to open at Hartsfield-Jackson Atlanta International Airport by the end of 2013.

Cake Boss Cakes by Dawn Foods

In June, TLC star “Cake Boss” Buddy Valastro gave his unique cake recipes to the company that supplies his Hoboken, N.J., bakery to help create a line of cakes to be sold in grocery stores, bakeries, and warehouse clubs nationwide. A natural brand extension for the baked goods maven, this move was one of many licensed brand extensions in the burgeoning food licensing space during 2012.

50 Shades of Grey Product Lines

Capitalizing on the monumental success of 50 Shades of Grey, author E.L. James announced her first licensing agreements in August for a range of products in North America. Official “Fifty Shades” board games, lingerie, underwear, pajamas, robes, T-shirts, knit tops and hoodies will be the first to hit store shelves with more likely to come, especially with talks of movies in the near future.

 http://www.forbes.com/sites/michaelstone/2013/01/22/top-10-licensed-brand-extensions-of-2012/