Gander Mountain wins marketing rights in legal wrangle with Cabela`s
The United States District Court of Minnesota has granted Gander Mountain Co. the rights to the Gander Mountain name and certain trademarks in direct marketing that have been contested since Cabela’s Inc. bought Gander Mountain’s catalog business in 1996. As a result, Gander plans to push ahead into catalog and online sales.
Gander Mountain, an outdoor sports and recreation retailer, comes out on top in the latest ruling, but Cabela’s might not be finished with its legal options. Cabela’s, No. 80 in the Internet Retailer Top 500 Guide, believes the ruling is contrary to the agreement that was entered into by Cabela’s and Gander Mountain in 1996 when Cabela’s bought Gander Mountain’s catalog division and acquired the rights to Gander Mountain’s trademarks in direct marketing. Cabela’s is currently “reviewing the ruling and discussing its alternatives with legal counsel,” the company says.
One alternative is to appeal the ruling. “While Cabela’s and its legal counsel are disappointed in the ruling, Cabela’s remains optimistic regarding any further litigation in this matter,” the company says. Cabela’s is a multi-channel retailer also serving the outdoor recreation market.
Gander Mountain intends to pursue a similar strategy, says Mark Baker, Gander Mountain president and CEO. “Gander Mountain was the first major catalog company in our industry,” Baker says. “We now have the freedom to regain that position, and with our upcoming entry into online selling, we have significant new opportunities to leverage the Gander Mountain brand.” He expects the company’s retail store total to reach 115 in 23 states by the end of the year.
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