Nike and Reebok reached a settlement in a U.S. court in a case involving new merchandise created by Reebok for Tim Tebow, the new quarterback of the New York Jets American football team. Nike sued Reebok on March 27 to prevent it from selling a line of jerseys and T-shirts carrying Tebow's name to celebrate his move from the Denver Broncos to the Jets. A federal judge issued a temporary injunction against Reebok the next day, ordering it to stop their production in view of the fact that Nike was going to replace it as the official supplier of licensed NFL apparel from April 1. On top of that, Tebow is sponsored by Nike. The terms of the settlement could not be learned, except for the fact that Reebok is offering to buy back any apparel already delivered to retailers. Reebok's attorneys claimed that their client had the right to sell the garments under a sell-off provision of its 10-year-old licensing agreement with the NFL.

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