RANGERS chairman Dave King has warned of further court action to secure payments it claims it is owed under a past retail agreement with Mike Ashley's Sports Direct.

And Mr King warned that court injunctions won by Mr Ashley affecting the current rights to sell club merchandise "will not be the final word".

He reacted after Mr Justice Teare last week ruled at the High Court that Rangers breached the terms of an agreement made with a company in the Sports Direct group - and granted an 'undoing' injunction that curbs the club's retail partnership with the Hertfordshire-based football merchandising firm Elite Group.

He agreed with Sports Direct that the club made a new agreement with the firm without giving Sports Direct a chance to match that firm's offer.


He ruled that Rangers was in breach of a retail agreement with Sports Direct by entering into the non-exclusive Elite agreement and by failing to offer Sports Direct the opportunity to exercise a matching right to their offer.

Mr King made his personal response after Sports Direct later called on Rangers to "accept the outcome and move on" and put in place commercial arrangements with Sports Direct which would be for the benefit of Rangers fans and the club.

Mr King said: "There is no mention of what benefit such arrangements might bring to the club and its supporters. I challenge Sports Direct to follow up its statement by sharing with Rangers supporters how much last season’s retail agreement benefited the club. "

READ MORE: Rangers face £400,000 legal bill as Mike Ashley wins injunction to halt merchandise deal

He despite repeated requests, the club had still not received a proper accounting for the retail activities or payments due over Sports Direct's sale of Rangers kit under a prior agereement.

"That certainly does not provide me with any comfort in dealing with Sports Direct as a partner. It is solely because of Sports Direct’s refusal or inability to act as expected of a normal commercial partner that Rangers now has no choice but to litigate to secure payments that are due and are long outstanding," he said.


"My advice to Sports Direct is that whatever short-term success it might enjoy through its courtroom manoeuvrings will not affect my resolve, nor that of RIFC’s other investors to ensure the best deal for the Club and its supporters.

"We continue to show the resolve we have demonstrated over the last three years in resisting all attempts by Mike Ashley and Sports Direct to take further advantage of our club.

"As in previous litigation, Sports Direct’s urgent court injunctions will always be complied with - but will not be the final word."

The judge said last week that litigation had resulted in a retail agreement in June, last year which granted Sports Direct rights to manufacture, sell and distribute Rangers branded football kits and other merchandise.

The judge said the issue at stake was whether Rangers were free to do retail deals with third parties.

The judgment at the High Court in London reveals that the June agreement granted the Sports Direct subsidiary, SDI Retail Services Limited, the exclusive right to operate and manage retail operations and the non-exclusive right to manufacture branded products.

The court heard that bosses at Rangers wanted to sign a new deal with a third party called the Elite Group but there was an objection and Sports Direct wanted the chance to match any new offer.

Mr Justice Teare agreed to an injunction put forward by Sports Direct to halt the Elite agreement.

Sa'ad Hossain QC submitted that the injunction should be granted because Rangers' breach had "caused harm" to Sports Direct.

But Rangers argued that the injunction should not be granted because Sports Direct had allowed the club to grant non-exclusive rights to third parties.