Court orders end to RadioShack branding in Canada

[The Dude]

25 Mar 2005


http://www.cbc.ca/story/business/nat...ck-050324.html

FORT WORTH, TEXAS - A U.S. district court judge has ordered that all 950 RadioShack stores in Canada must stop using that brand name in any of their signs, packaging, products, or advertising as of June 30.

The company that oversees the stores, Circuit City Stores Inc., said Friday that it intends to appeal the ruling.

RadioShack Corp. had asked the courts to allow it to end a licensing contract it had with InterTan Inc., a subsidiary of Circuit City. That licensing deal had allowed InterTan to use the RadioShack name at its company-owned and dealer stores across Canada until 2010. Alleging that InterTan had breached the terms of its agreement with RadioShack, the company launched a lawsuit last year seeking the court's okay to end the contract early.

InterTan was acquired by U.S.-based Circuit City in March 2004. The lawsuit was filed a week after Circuit City bought InterTan. Circuit City and RadioShack are major competitors in the U.S.

"The most important thing to us was to protect our brand position in Canada," RadioShack general counsel Mark Hill said in a statement after the judge's ruling. "We are committed to acting in the best interest of our shareholders, and we are extremely pleased with the court's decision," he said.

I wonder if the real reson behind this is cause they know how crappy radio shack is and are trying to get rid of that name