French Heritage, Ethan Allen settle suit

Details of settlement not disclosed

Tom Russell -- Furniture Today, October 6, 2008

STAMFORD, Conn. — French Heritage and Ethan Allen have settled a business interference lawsuit dating back to 2004, but settlement details were not disclosed.

French Heritage officials declined to comment because of a confidentiality agreement. Ethan Allen officials were unavailable for comment on Friday.

French Heritage, a manufacturer of case goods and accent furniture, had claimed it had an exclusivity agreement with Indonesian manufacturer PT Alis Jaya Ciptatama regarding the sourcing of Ethan Allen products. French Heritage also said it had formed a joint venture with the same factory called PT Alis French Heritage.

It claimed that Ethan Allen ended up sourcing goods directly from the factory without approval from French Heritage. It also said that Ethan Allen ultimately cut it out of the joint venture relationship, which French Heritage said ultimately represented a loss between $3 million and $4 million worth of production.

The case went to trial here Sept. 3 but French Heritage withdrew it Sept. 25, according to an official with Stamford Superior Court.