IndependentsMay 01, 2024
Harwell Godfrey Opens First StoreIt is located in Marin County, California.
MajorsOct 11, 2018
Saks Files $55M Countersuit in Cartier Case
The department store hit back at the luxury jewelry brand in the conflict stemming from the former’s New York City flagship renovation.
Pictured here is the recently redone jewelry department at Saks Fifth Avenue’s New York City flagship store. The store’s renovation is at the heart of a conflict between the department store chain and Cartier.
New York—The legal conflict between Cartier and Saks Fifth Avenue just got more interesting.
Saks Fifth Avenue responded to Cartier’s $44 million lawsuit filed in New York State Supreme Court last week with a multimillion-dollar suit of its own.
On Oct. 5, the department store chain filed a countersuit in New York State Supreme Court, asking for $55 million and for Cartier to vacate its Fifth Avenue New York City flagship.
The conflict stems from Saks’ renovation of that store.
Saks proposed a new location for the Cartier shop-in-shop amid the overhaul, which the jewelry brand objected to, asserting in a statement that it did “not align with the Maison’s positioning and image standards.”
According to Cartier, Saks terminated its five-year lease agreement with the Richemont-owned jewelry brand amid the renovation row, which is when the latter took the matter to court.
In Saks’ countersuit, however, the retailer alleges that it didn’t have a lease with Cartier but, rather, a five-year concession agreement, though it did admit that the agreement between the companies stated that changes in the location of Cartier wouldn’t be made without written consent from both parties.
Saks noted, however, that the agreement contains a provision that allows either party to terminate the agreement if Saks’ “matrix, business model and/or Saks Fifth Avenue brand perception were to materially change.”
The Hudson’s Bay Co.-owned department store chain said that its $250 million+ flagship overhaul constitutes just such a shift, as it is “changing from a product distribution model to a model focused on creating a customer experience at the store focused on dominant category presentations that become destinations.”
It also noted in the countersuit that it is changing the matrix, or mix, of brands.
Unlike the traditional department store model that Saks has employed since its founding in 1924, the renovation saw its beauty department move from the ground floor to the second floor, in a move that allows it to include spa and treatment rooms, and beauty services.
It also launched a revamped jewelry department on the second floor, fittingly called “Jewelry on 2,” that is home to designers like Amali, David Webb, David Yurman, Gurhan, Ippolita, John Hardy, Marco Bicego, Mikimoto, Roberto Coin, Temple St. Clair and Zoë Chicco.
Saks now aims to move leather goods to the ground floor and high-end jewelers like Cartier to the basement level, in a “chic, extravagant space,”
Editors' Picks
Sponsored by
dubbed “The Vault,” which will be “the perfect environment for clients pursuing large transactions,” it said.
The retailer noted that Chopard, Graff and Chanel will be among the jewelers taking up residence in The Vault.
“Saks therefore envisioned all of its highest-end jewelers moving to The Vault to provide a more private, secure location for making very expensive purchases,” the countersuit states. “This transformation was based upon experience showing that the customer prefers not to make purchase decisions in the tens of thousands of dollars in the same place that other customers are shopping for lipsticks.”
Saks alleges that Cartier refused a prime location in The Vault or even other spots on the store’s ground level.
The retailer said it plans to unveil its new ground floor in time for the next New York Fashion Week, occurring in February 2019, stating that “any delay in turnover of the Cartier concession for demolition and construction would make it impossible for Saks to meet the immovable deadline created by the Fashion Week schedule.”
The retailer noted that Chopard, Graff and Chanel will be among the jewelers taking up residence in The Vault.
“Saks therefore envisioned all of its highest-end jewelers moving to The Vault to provide a more private, secure location for making very expensive purchases,” the countersuit states. “This transformation was based upon experience showing that the customer prefers not to make purchase decisions in the tens of thousands of dollars in the same place that other customers are shopping for lipsticks.”
Saks alleges that Cartier refused a prime location in The Vault or even other spots on the store’s ground level.
The retailer said it plans to unveil its new ground floor in time for the next New York Fashion Week, occurring in February 2019, stating that “any delay in turnover of the Cartier concession for demolition and construction would make it impossible for Saks to meet the immovable deadline created by the Fashion Week schedule.”
More on Majors
The Latest
SurveysMay 01, 2024
Consumer Confidence Falls in AprilConcerns about rising prices, politics, and global conflicts continue to dampen consumer outlook.
TrendsMay 01, 2024
Amanda’s Style File: All Eyes on EmeraldsMay’s birthstone is beloved for its rich green hue and its versatility.
Brought to you by
Rio’s Reimagined Podcast: For the Love of JewelersMeet Ben Claus—grand prize winner of For the Love of Jewelers 2023 Fall Design Challenge.
SourcingMay 01, 2024
Opsydia Names New Sales and Marketing Director Jacqui Larsson joins Opsydia with nearly two decades of experience in the industry.
Weekly QuizApr 26, 2024
This Week’s QuizTest your jewelry news knowledge by answering these seven questions.
CrimeMay 01, 2024
Grand Jury to Hear Case Against Jeweler Charged in Fatal Shove Following IJO ShowLast month in Dallas, David Walton pushed another jeweler, David Ettinger, who later died.
CollectionsApr 30, 2024
12 Otherworldly Pieces From Tiffany & Co.’s 2024 Blue BookThe “Tiffany Céleste” collection reimagines designer Jean Schlumberger’s interpretations of the universe.
Brought to you by
The Blueprint for Success in Scalable, Personalized Jewelry RetailWith Ho Brothers, you can unlock your brand's true potential and offer customers the personalized jewelry experiences they desire.
Events & AwardsApr 30, 2024
Canadian Jewellers Association Brings Back the Summit It’s the second year for the event, slated to take place in October in Toronto.
Recorded WebinarsApr 29, 2024
Watch: Diamond Identification and Evaluation - How to Protect your BusinessSupplier Spotlight Sponsored by GIA
SourcingApr 29, 2024
De Beers to Move Auction HQ from Singapore to BotswanaSales will be paused while the relocation takes place over the next few months.
CollectionsApr 29, 2024
Simone I. Smith Mixes Denim and Diamonds in New Collection“SIS x MISA Denim and Diamonds” is a collaboration between the designer and celebrity stylist Misa Hylton.
IndependentsApr 29, 2024
Venus Jewelers Relocating After 45 YearsThe retailer is moving to a newly designed space in the same shopping center.
SurveysApr 29, 2024
Mother’s Day Jewelry Spending to Reach $7B, Says NRFGifts that are unique and thoughtful are top of mind this year, according to the annual survey.
CollectionsApr 26, 2024
Piece of the Week: Jacquie Aiche’s Starry Galaxy NecklaceThe necklace is featured in the brand’s “Rebel Heart” campaign starring Adam Levine and Behati Prinsloo.
Events & AwardsApr 26, 2024
AGS Conclave and GIA Symposium Are ConvergingThe two organizations will host a joint event, “Converge,” in September 2025.
SourcingApr 26, 2024
Anglo American Reportedly Shopping De Beers as BHP Eyes Anglo Big changes appear to be on the horizon for the diamond miner and its parent company, Anglo American.
Events & AwardsApr 25, 2024
Alexis Padis Takes Over as AGS Board President Padis succeeds Lisa Bridge, marking the first time the organization has had two women board presidents in a row.
EditorsApr 25, 2024
5 Tips for Creating Fans from the Top (Savannah) Banana Jesse Cole, founder of Fans First Entertainment, shared the “five Es” of building a fan base during his AGS Conclave keynote.
WatchesApr 25, 2024
Audemars Piguet and John Mayer Partner on Limited Edition WatchThe Royal Oak Perpetual Calendar "John Mayer" was celebrated at a star-studded party in LA last week.
SourcingApr 25, 2024
De Beers Lowers Production Guidance for 2024The announcement came as the company reported a 23 percent drop in production in Q1.
MajorsApr 25, 2024
Detroit Lions’ QB Jared Goff Keeps Going to JaredThe three-time Pro Bowler continues to partner with the retailer, donating to a Detroit nonprofit and giving watches to fans.
CrimeApr 24, 2024
Jewelry Crime Declines Significantly, But Dollar Losses Remain High A double-digit drop in the number of in-store crimes was offset by a jump in off-premises attacks, JSA’s 2023 crime report shows.
CollectionsApr 24, 2024
Pippa Small Announces ‘Venus’ CollectionInspired by the Roman goddess of love, the designer looked to the sea for her new collection.
FinancialsApr 24, 2024
Kering’s Jewelry Brands a Bright Spot in Tough Q1The luxury titan posted declining sales, weighed down by Gucci’s poor performance.
Events & AwardsApr 24, 2024
JCK Industry Fund Announces 2024 Grant RecipientsThe selected nine organizations have outlined their plans for the funds.
SourcingApr 24, 2024
Rio Tinto’s Q1 Production Drops Amid Pause to Honor Lost Colleagues The mining company’s Diavik Diamond Mine lost four employees in a plane crash in January.
