November 2004
Diana's legacy to fund a horrifying sequel now dropped
The Franklin Mint had been given leave to sue the Diana Memorial fund in a Los Angeles court, for $25 million, on the grounds of 'malicious prosecution'. The charity's work had come to a complete halt, the fund's assets were frozen and over 500 jobs were in jeopardy. Jury selection had begun and word was spreading that the hearing may be televised worldwide, which would have wet the appetite of a Diana hungry audience. However, at this juncture, the case was dropped and the two sides reached an out of court settlement.
Over the years, the fund has pledged millions of pounds in grants to charities and it makes most of its money from licensing products in the name of Princess Diana. However, the same fund that had promoted scratch cards and margarine tubs, set off in motion a grand legal battle in May 1998 against Franklin Mint, a big American producer of collectibles, who the fund accused of selling Diana dolls, plates and jewellery illegally, only to be left with a legal bill of $4million.
The fund defended the princess's image rights but the question at the centre of the case was whether the terms of the licensing agreement was in line with the charity's stated objects. The charity's objects, registered with the commission do not include upholding Diana's image but the fund signed a licensing agreement with the princess's estate, which did confer rights to Diana's name and image and therefore, the fund monitored the unauthorised exploitation of those rights. The trustees of the fund's main defence was that they allegedly relied on the poor legal advice of an American law firm, in the hope that any damages would have to be paid by the former lawyers.
Briffa Comment:
Warning goes out from the Charity Commission to take 'great care' when considering taking legal action, for fear of being paralysed by large claims for damages. There is also the fear that reputations and brands may suffer, by stultifying any chance of further collaborations on projects. At least in this case, both sides agreed that time and resources would be better spent on a "mutually agreed international programme of humanitarian work" in honour of the late princess.