Jones Suit

Discussions between Jones Apparel Group Inc. and Polo Ralph Lauren Corp. have broken down, according to statements made by Jones, which filed a breachof- contract suit in New York State Supreme Court against Polo, its affiliates and former Jones Apparel Group President Jackwyn Nemerov. The dispute stems from differences in the companies’ interpretations of the Lauren by Ralph Lauren license. Jones said it owns the license until 2006, but Lauren claimed the U.S. and Canadian licensing rights expire at the end of 2003. The suit charged Nemerov with breaching her confidentiality agreement when she left Jones last year and began consulting with Polo. Jones is seeking compensatory damages of $550 million.