Mattel's Attempt To Claim Ownership Of Bratz Comes Back To Bite Them: Now They May Owe $88.5 Million
from the blowback dept
Thankfully, Judge Kozinski on the 9th Circuit came to the rescue and wrote a fantastic ruling explaining all of this to the district court, and sending the case back for a new trial. As part of that, MGA also filed some counterclaims against Mattel, including the claim that Mattel illegally spied on MGA and copied trade secrets from the company through questionable means. When these counterclaims were filed, I actually suggested that it was silly and distracting from the larger point... which I still stand by.
However, from a karmic perspective, it's interesting to see that the new jury has rejected nearly all of the claims against MGA, but sided with MGA on the trade secrets claim, and suggested an award of $88.5 million from Mattel to MGA -- an amount that MGA is going to ask the court to double for punitive reasons.
To summarize: in the course of a few short years, Mattel went from losing in the marketplace to MGA, to winning a court case that gave it total control over the competing product... to now not having control and having to pay MGA potentially millions.
Of course, this isn't over yet. Mattel has already asked the court for a brand new trial, and if that doesn't work, it says it's going to appeal the case, even if some "industry analysts" are apparently telling Mattel the company should just drop it. I have a feeling we haven't yet seen the end of this case, however.