MGA "still assessing" impact of Bratz ruling: CEO

LOS ANGELES (Reuters) - MGA Entertainment Inc is "still assessing" its next move, including whether to lay off staff, after a California judge barred the family-owned toy company from selling its popular Bratz doll, founder and Chief Executive Isaac Larian said on Thursday.

"Bratz is an extremely important part of our company and we are currently assessing the impact of this ruling," Larian told Reuters in an interview conducted by email.

Larian said MGA would appeal the order, issued late on Wednesday by U.S. District Judge Stephen Larson and stayed until next year, but was "open to any reasonable settlement" with rival Mattel Inc MAT.N, which won rights to the $1 billion-plus doll line in a copyright infringement trial earlier this year.

"But, it was relayed to me that Mattel wants it all," he wrote.

A Mattel spokeswoman declined to "speculate" on whether the toy giant, which makes the Barbie doll, would sell dolls and other products impounded by court order or if it would discontinue the line altogether.

Mattel sued MGA and former Barbie designer Carter Bryant for copyright infringement a few years after Barbie began losing market share to Bratz, launched in 2001, and after its attempt at making an edgier doll, called MyScene, failed.

A California jury ruled in Mattel's favor on its claims that Bryant had invented Bratz while under contract to Mattel and had illegally sold the property to MGA.

A second jury considering damages awarded Mattel just $10 million of the nearly $2 billion in it sought in damages for copyright infringement. The panel also awarded Mattel $90 million for damages related to other claims.

Unresolved by both juries was which company could continue to make the pouty lipped, urban chic dolls beloved of young girls who are Barbie's target market.

Larson approved Mattel's motion to stop MGA from selling the dolls or using the Bratz name after court-ordered talks to work out a royalty scheme or other settlement failed.

On Thursday, Larian was mum about whether he and his legal team would approach Mattel about reopening those talks: "That's the job of the court appointed settlement officer," he said.

As to whether the company will launch another fashion doll, Larian said MGA was "currently considering our options."

(Reporting by Gina Keating; editing by Richard Chang)