Tiffany to pay Swatch Group $450Million.

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01-May-2017

Tiffany & Co. loses appeal on Swatch Group $450 million (CHF 402.7 million) in damages from their failed joint watch venture, Tiffany reported. 

The two companies established a partnership in December 2007 to produce and market watches under the Tiffany brand, but the deal ended in a bitter and expensive court battle. Swatch sued Tiffany in December 2011 for breach of contract, prompting Tiffany to countersue a few months later. Swatch ultimately won the arbitration before a panel of judges in December 2013.

Tiffany has the right to appeal the decision further to the Supreme Court of the Netherlands, the company noted. If it chooses to do so, management expects the annulment will only be resolved during the fiscal year ending January 31, 2019. 

 

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