- Karen Millen loses a High Court battle to use her name
- Millen challenged the agreement to not use her name for future business ventures after former Karen Millen owner Baugur collapsed in 2009
- Millen said she wanted to use her name for business ventures outside of the fashion sector
The founder and namesake of Karen Millen has lost a legal battle with her old company to use her name for future business ventures.
The founder of the eponymous fashion retailer lost her High Court battle to use her name for business purposes following the collapse of Baugur, which she sold Karen Millen to for £95m in 2004.
According to The Times, Millen, who founded the retailer in 1981, launched a legal battle to regain the rights to use her name after Icelandic investor Baugur collapsed in 2009 and subsequent restructuring put Karen Millen Holdings under the control of administrators.
When she sold the Karen Millen business in 2004 Millen agreed not to use her name for future business ventures.
However, Millen challenged the agreement on the grounds that she had lost significant sums as a result of the Baugur collapse and wanted to use her name for business ventures outside the fashion sector.
Judges ruled that allowing Millen to use her name in other businesses would cause confusion between the two brands.
Karen Millen, which reported full-year operating losses of £9.7m in December, was owned by Oasis and Warehouse owner Aurora Fashions until 2012.
The retailer’s Icelandic investor Kaupthing retained control of the business after a planned management buyout by former chief executive Mike Shearwood failed to come to fruition.