Shelby Mustangs close in on Cobra for licensing troubles
A federal court judge just did what many fellow racers were never able to do: Slow Carroll Shelby down. One-time Shelby Mustang licensee Jon Wilhelm of Wilhelm Motor Works was given the green light to proceed with a huge ($250 mil) countersuit against Carroll Shelby International, Inc., Carroll Shelby Licensing, and the Carroll Hall Shelby Trust in Shelby's suit against Wilhelm for continuing to create Shelby Mustang recreations without a license. Several months after arranging a licensing deal with Shelby last year, Shelby alleged that Wilhelm was offering vehicles that were not the agreed upon "continuation" replicas, but rather "knock-offs" that had been previously built by Wilhelm. Also cited was a promotional brochure that showed unfinished prototypes. Shelby sued Wilhelm in December claiming Wilhelm continued to offer and sell these Mustangs after the licensing agreement had been terminated.
Because of its legendary performance and iconic American racecar image, the Shelby Cobra has also seen its fair share of lawsuits. There is a huge Cobra replica market that has seen it become one of the most copied designs of all time. Recent deals with Superformance have helped settle that situation, but this Mustang case is still just getting up to speed.
[Source: WorldCarFans, The Auto Channel]
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