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Sports Direct and Rangers back in court – A warning for Newcastle United

4 months ago
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Monday brings news that Sports Direct and Rangers are now back in court.

A two day court hearing is set to hear legal argument from the two sides.

The past regime running the Glasgow club were very friendly/sympathetic to Mike Ashley and his retail empire.

Rangers being tied up in all kinds of contractual obligations that were massively beneficial to Sports Direct and its controlling shareholder.

Despite new owners taking control some years ago, the club has still not been able to rid itself of its ties with Ashley and his retail empire.

Good luck to Rangers and a warning no doubt for Newcastle United fans.

As we already know, Sports Direct have hugely benefited from their association with Newcastle United in these past 12 years.

Apart from all of the free advertising they have received, Sports Direct are also tied in closely with Newcastle United’s retail operation.

NUFC appear to make very little money these days from the retail side of things and the running of Newcastle United’s physical and online shops doesn’t exactly seem to have been to the club’s benefit.

The most visible has been Mike Ashley closing all but one of the NUFC official stores in favour of his Sports Direct ones.

However, nobody knows exactly what kind of long-term contracts have been agreed when it comes to the club’s  relationship with Sports Direct.

If Mike Ashley were ever to sell Newcastle United, would that really be the cutting of all ties between he/Sports Direct and the football club?

18 February 2019 – Daily Record:

‘Lawyers representing Rangers Football Club and Sports Direct and Newcastle United boss Mike Ashley are back at the High Court for the latest stage of litigation centred on merchandise deals.

A judge was asked to rule on a series of legal issues relating to terms of agreements between Rangers and Ashley.

Judge Ross Cranston is scheduled to analyse legal argument at a hearing in London over two days.

Rangers lost a round of the fight in October following a trial in London.

Another judge ruled that Rangers had breached the terms of an agreement made with a company in the Sports Direct Group.

Mr Justice Teare concluded that bosses at Rangers had made a new agreement with another firm, the Elite Group, without giving Sports Direct a chance to match that firm’s offer.

Sports Direct bosses have since made further complaints relating to other agreements involving Rangers and Elite and Rangers and Hummel.

Rangers dispute claims made against them.

A third judge had made rulings on a number of legal issues earlier this month.

Judge Lionel Persey indicated that decisions about any damages Rangers might have to pay would be made after a further trial scheduled for April.’

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