Rangers end High Court battle with Sports Direct with confidential settlement
Rangers have ended their legal battle with retailer Sports Direct after reaching a confidential settlement according to The Athletic.
The agreement between the parties ends the High Court battle “with immediate effect” after nearly two years of wrangling over merchandising rights related to the club ending it’s shirt manufacturing deal with Hummel in 2020.
The early termination of the deal, and the subsequent new terms with Castore, led to the retailer founded by Mike Ashley taking the club to court over lost earnings.
According to The Athletic report: “Rangers’ chiefs and supporters were said to be angry at the fact the club were only receiving 7p from every £1 spent on club merchandise in Sports Direct stores.
“Ashley’s company became aggrieved and sought a payout for Rangers merchandise produced by Hummel and Castore.”
A High Court of Justice document now reportedly shows the matter is over.
The Scottish Sun had previously reported a trial date was set for June, but the settlement now avoids that.
The club had already been on the receiving end of two unfavourable judgments relating to the disclosure of documents in the case, so may have decided against risking any further defeats.
The confidential nature of the settlement makes it impossible to know how much it has cost the club.
It will be some relief for what The Athletic called a “lengthy legal fight” to be over though.
The Sun’s report in December had stated that the club were at risk being ordered to pay “several million pounds worth of damages” so a settlement is likely to have been significant but somewhere below that.
The club continues to be involved in kit-based controversies however, as the new apparel for next season, made by Castore, is reportedly due to be sold with the now-defunct sponsor Sportemon Go on it.
According to Football Scotland the club will offer free cover-ups to fans once a replacement sponsor is secured.
So, based on recent events there is unlikely to be huge optimism that this is the end of expensive remedies to past business dealings.