By Phil Wahba
Jan 24 A federal judge on Thursday denied a
request by Signet Jewelers Ltd, parent of Kay Jewelers,
to force arch rival Zale Corp to drop ads touting some
of its diamonds as the world's most brilliant.
The ruling allows Zale, which operates the Zales chain, to
continue with a campaign begun in the autumn for its Celebration
Fire diamond as it heads into the Valentine's Day period, the
second most important for a jeweler after the holiday season.
Signet failed to prove it had suffered "irreparable" damage
from Zale's claims, Judge John Adams of U.S. district court in
Akron, Ohio, wrote in his ruling.
Any lost sales and customers due to Zale's campaign "could
be remedied through an award of monetary damages," making an
immediate injunction unnecessary, Adams wrote.
Signet's Sterling unit - whose divisions include Kay and
Jared the Galleria of Jewelry - filed a lawsuit on Nov. 13,
saying that Zale's ads boasting Celebration Fire diamonds are
"the most brilliant diamond in the world" are false because Zale
did not test every other cut of diamond in the world.
In its promotional materials, Zale says its claim is based
on independent laboratory testing in 2012 of round cut diamonds
from select leading national jewelers.
Signet pointed out that it can still seek monetary damages.
"We continue to believe in the strength of the merits of our
case and we are moving forward according to the court's
schedule," said Signet spokesman David Bouffard.