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Appeals court extends MGA's Bratz sales

By Staff -- Gifts and Dec, 12/10/2009 7:51:00 AM

LOS ANGELES—An appeals court yesterday stayed the pending court-ordered recall of MGA Entertainment’s Bratz dolls, allowing the line to remain on store shelves.

The order was filed by Chief Judge Alex Kozinski and Circuit Judges Stephen S. Trott and Kim McLane Wardlaw of the US Court of Appeals for the Ninth Circuit on Wednesday following an appellate hearing on the case earlier in the day.

“The Court’s stay is good news for all Bratz fans and for anyone who cares about fair competition,” said Isaac Larian, CEO of MGA Entertainment. “It keeps Bratz on the shelves, allows MGA Entertainment to continue meeting consumer demand for new Bratz products, and prevents Mattel from taking control of the billion-dollar international Bratz brand built by MGA Entertainment while the Court makes its final decision. We are gratified by the Court’s decision and look forward to receiving the Court’s decision on our appeal.”

The judges would see MGA and Mattel to attempt to settle the dispute over Bratz’s future through “expedited participation in this court's mediation program."

Last year, a court ruled that Bratz’ creator, Carter Bryant, had been under contract to Mattel when he designed the initial concept and hence granted Bratz rights to Mattel. MGA was subsequently ordered by U.S. District Judge Stephen Larson to stop selling Bratz dolls at the end of 2009 and transfer all related material to Mattel.

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