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Tag Heuer takes legal action after terminating CBA deal

Luxury watch brand Tag Heuer has terminated its partnership with the Chinese Basketball Association – less than a month after signing a deal to become the body’s official timekeeper.

Though the Swiss company did not outline the reasons for the termination, it has filed a complaint against Infront China, the league’s exclusive marketing agent, to the People’s Court of Beijing Chaoyang District.

The two-year agreement signed last month named Tag Heuer the official timekeeper and watch partner of China’s top tier basketball league. The deal was scheduled to cover the 2015-16 season and the 2016-17 campaign.

In a statement, Tag Heuer claimed that Infront sought to terminate the contract without just cause. The China Daily newspaper said Infront China cancelled the deal as its parent company, Infront Sports & Media, was already in partnership with Tag Heuer’s fellow Swiss watchmaker Tissot.

“Infront China’s practice has violated the law and business ethics and damaged Tag Heuer’s brand image,” Leo Poon, Tag Heuer’s brand director in China, told China Daily. “We deeply regret this issue. We continue to offer our sincere best wishes to the China Basketball Association and the CBA League matches and will continue to support the development of basketball in China.”