No discussions are currently taking place, said
the people cited by the Journal, who also said the two sides
have held on-and-off talks since closing arguments but failed to
agree on the amount of damages.
A lawyer for Penney, Martin Edel, declined to comment, referring
the inquiry to a Penney spokeswoman, who declined to comment.
Macy's lawyer, Ted Grossman, did not immediately return a
request for comment, nor did a Macy's spokesman.
Macy's sued Penney and Martha Stewart Living Omnimedia Inc <MSO.N>
in 2012 after the two announced a partnership in December 2011
that called for Penney to build Martha Stewart shops at nearly
600 of its stores.
Macy's argued that the agreement breached its contract with
Martha Stewart that included exclusive rights to Martha
Stewart-branded cookware, bedding and bath products.
In October, Penney announced a revised agreement with Stewart's
company that eliminated her products in categories to which
Macy's had claimed exclusive rights.
Earlier this week, Macy's and Martha Stewart Living Omnimedia
reached a settlement in their own dispute but did not disclose
the terms. Stewart's merchandise is Macy's top-selling home
What remains to be settled between Macy's and Penney are damages
to recoup attorney's fees and lost profits.
(Reporting by Phil Wahba in New
York; editing by Meredith Mazzilli)
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