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Bratz loses battle of the dolls Bratz loses battle of the dolls
(20 minutes later)
Bratz dolls are facing removal from all shops after a US federal court banned parent company MGA Entertainment from making the Barbie-rival.Bratz dolls are facing removal from all shops after a US federal court banned parent company MGA Entertainment from making the Barbie-rival.
The court issued the order after Barbie-maker Mattel, won a landmark copyright-infringement case against MGA in August. The court issued the order after Barbie-maker Mattel won a landmark copyright-infringement case against MGA in August.
Bratz designer Carter Bryant had been found guilty of developing the Bratz brand while still working for Mattel.Bratz designer Carter Bryant had been found guilty of developing the Bratz brand while still working for Mattel.
MGA has appealed the ruling, which severely undermines its business model.MGA has appealed the ruling, which severely undermines its business model.
A federal judge in California banned MGA from selling and making all 40 multi-ethnic dolls in the Bratz line.A federal judge in California banned MGA from selling and making all 40 multi-ethnic dolls in the Bratz line.
But it allowed the company to wait until after Christmas to begin removing dolls from the shelves.But it allowed the company to wait until after Christmas to begin removing dolls from the shelves.
'Dire scenario''Dire scenario'
The ruling "underscores that MGA should not be allowed to profit from its wrongdoing", said Mattel, the world's biggest toymaker,The ruling "underscores that MGA should not be allowed to profit from its wrongdoing", said Mattel, the world's biggest toymaker,
Mattel was awarded up to $100m (£68m) in August, in the ruling of the initial copyright infringement case.Mattel was awarded up to $100m (£68m) in August, in the ruling of the initial copyright infringement case.
"In the most dire scenario, MGA can't sell Bratz at all and a humongous chunk of their business disappears," said Sean McGowan, analyst at Needham & Co."In the most dire scenario, MGA can't sell Bratz at all and a humongous chunk of their business disappears," said Sean McGowan, analyst at Needham & Co.
"But it's likely they will work out a way for MGA to stay in business and Mattel to profit," he added."But it's likely they will work out a way for MGA to stay in business and Mattel to profit," he added.
The Bratz brand has been blamed for falls in Barbie sales since being first sold in 2001.The Bratz brand has been blamed for falls in Barbie sales since being first sold in 2001.