Macy’s tries to prevent Amazon from advertising in Herald Square store

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On March 29, 2020, the closed Macy’s Herald Square in New York City was brightly lit, and people stayed at home to stop the spread of the coronavirus.

Noam Calais | Getty Images

Macy’s Involved in a legal battle with the landlord to prevent Amazon Marketing from the billboard at the top of its most iconic flagship store.

Department Store Chain Ask Kaufman Organization in New York City According to a lawsuit filed in Manhattan’s Supreme Court, the company blocked a potential transaction with Amazon to use the billboard at the top of its famous Pioneer Square location.

The complaint alleges that Macy’s claimed that any advertising by its online competitors would cause “immeasurable” damage to its business.

“If a well-known online retailer (especially Amazon) advertises on a billboard, the damage to the goodwill, image, reputation and brand of Macy’s customers is incalculable,” Macy’s court documents reviewed by CNBC Means in.

For more than half a century, Macy’s has been advertising its business on billboards. However, the lease of the space recently expired in August, and Macy’s stated that it was unable to reach an agreement with Kaufman. The complaint stated that Kaufman was already negotiating with Amazon.

However, Macy’s stated that its initial lease of billboard space included a clause that prohibits any other retailer from advertising on billboards indefinitely.

Representatives of Amazon and Kaufman did not immediately respond to CNBC’s request for comment.

“Since the early 1960s, Macy’s has placed a billboard on the building near the flagship store on the corner of Broadway and 34th Street,” a Macy’s spokeswoman told in an email statement CNBC.

“Macy’s continues to own the rights related to advertising at that location,” she said. “We hope to realize the benefits of these rights and have asked the court to protect them. Since this matter is under litigation, the company will not comment any more.”

Crane’s New York first report In the battle in the court.

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