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Tempur Sealy alleges Mattress Firm failed to honor agreement, still uses signs in stores

SOUTHEAST TEXAS RECORD

Thursday, November 21, 2024

Tempur Sealy alleges Mattress Firm failed to honor agreement, still uses signs in stores

HOUSTON – The split between two mattress giants likely is heading to court.

According to furnituretoday.com, Mattress Firm struck first, filing suit against Tempur Sealy on March 30.

According to the website, Mattress Firm’s suit said, "Specifically, during the winding up of the parties’ extensive relationship, Tempur Sealy threatened to prematurely cut off Mattress Firm’s supply, despite their knowledge that hundreds of orders were pending and millions of households in the country had received Mattress Firm advertisements for their product."

The suit states that Tempur Sealy did not comply to delivery production obligations, which resulted in lost sales.

“Tempur Sealy’s sharp tactics violated the parties’ written agreements and interfered with Mattress Firm’s customer relationships," it states.

A couple days later, Tempur Sealy attorneys fired back, filing a 10-count suit against Mattress Firm in the Houston Division of the Southern District of Texas. The suit claims Mattress Firm violated a termination agreement between the two businesses.

"The agreements required Mattress Firm to cease and desist from the use of Tempur-Sealy trademarks by no later April 3, 2017,’’ the suit said. "However, since April 3, Mattress Firm has failed, as promised, to: (a) take down all signs in its stores referring to Tempur-Pedic or Sealy; (b) remove all references to Tempur-Pedic and Sealy from its website; and (c) cease all Mattress Firm advertising referring to Tempur-Pedic and Sealy. Mattress Firm’s conduct has caused and will continue to cause Tempur-Sealy irreparable harm."

Temper Sealy is looking for temporary and permanent orders to keep Mattress Firm from utilizing the Tempur-Sealy Marks on its store signs, website and advertisements and letter agreements obligations.

It also is looking for an award of damages, including profits from Mattress Firm and it also is looking for attorney fees.

Back on Jan. 30, the two companies had entered into a letter agreement, detailing the terms of termination between the two parties. Tempur-Pedic and Sealy agreed to accept orders from Mattress Firm through April 3, 2017.

Tempur Sealy Marks suit said, ‘’Mattress Firm intends to use the Tempur-Sealy Marks to induce consumers to visit their stores, in the hope of switching them to other products offered by Mattress Firm. The vast majority of infringing material feature Tempur-Sealy product being discounted or as clearance items.’’

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