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Playboy, eFashion Agree to Settle Breach-of-Contract Suit

CHICAGO — Playboy and eFashion Solutions have reached a settlement deal in a suit that was spurred when eFashion canceled website-management obligations for the retail end of Playboy.com.

XBIZ has learned counsel for Playboy and eFashion are drawing up settlement documents and will meet on Sept. 3 to finalize the deal at U.S. District Court in Chicago.

Terms of the settlement have not been disclosed.

Chicago-based Playboy said in the suit filed two months ago that the eFashion deal, which began in January 2008, had been a nightmare for the company from the get-go. And an expensive one.

Playboy, in the suit, said it gave eFashion concessions worth $18.1 million after the original deal was signed.

Secaucus, N.J.-based eFashion promotes itself as “a leader in ecommerce operations for designer, luxury and celebrity fashion brands.” It operates sites for DKNY and New Era.

Playboy's Theresa Hennessey told XBIZ that the company does not comment on pending litigation matters. eFashion CEO Edward Foy did not get back to XBIZ on the matter.

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