Specialized has reached agreement to pay the bankrupt Advanced Sports Enterprises $700,000 for U.S. rights to the Roubaix bicycle trademark, according to a report on www.bicycleretailer.com.
Advanced Sports Enterprises had been licensing the trademark to Specialized since 2003, but has now agreed to remove the trademark from the portfolio of assets that are set to be auctioned this month. This avoids the possibility that Specialized would lose rights the Roubaix name (which it bestows on one of its best selling road bikes), or have to negotiate a new licensing deal with a new trademark owner.
ASE also agreed to withdraw a motion it had made with the bankruptcy court to cancel the licensing contract, added the report written by Stephen Frothingham.
A bankruptcy judge this week agreed to schedule a hearing for Jan. 22 where he will consider whether the asset purchase agreement between ASE and Specialized should be accepted. A sales hearing is already scheduled for that day regarding other assets that are being sold this month.
While details are still coming together, Specialized has agreed to assume the trademark and any related rights and obligations, including the assumption of an agreement that ASE made with Daniel Richter, the owner of Café Roubaix in Calgary, Alberta. You’ll surely remember that in 2013 Specialized threatened to sue Richter for use of the Roubaix mark for his business, then later backed off.
Read the full report at www.bicycleretailer.com.