October 9, 2007

Carroll Shelby Licensing may terminate contract with Unique Motorcars

Gardena, California – Carroll Shelby Licensing Inc. (CSL) has announced that it has commenced termination proceedings regarding license agreements with Unique Motorcars Inc., which was to build 1960s “Continuation” Shelby GT-350SR and GT-500E “Eleanor” models. Unique Motorcars was to have built the cars at its factory in Texas.

CSL says its decision comes after confrontations with concerned customers and litigation involving Unique’s failure to deliver the vehicles. CSL has placed Unique on notice of termination unless Unique, among other things, “satisfies existing customer complaints, delivers the vehicles previously promised to its customers and develops a feasible financial plan,” according to CSL.

Carroll Shelby unveiled the GT-350SR in 2003 at the Specialty Equipment Market Association (SEMA) show in Las Vegas. The cars were based on vintage Mustangs with a 410-hp motor, four-wheel disc brakes, independent front suspension, road-racing oil pan and air conditioning.

“Carroll Shelby Licensing has had no choice but to give Unique notice that its license agreements with Shelby are subject to termination,” says John Luft, President of CSL. “We, as the licensor, must carry the burden of protecting the goodwill associated with the Shelby brand, which Carroll Shelby has spent over 50 years building and protecting. Carroll Shelby Licensing must be proactive in enforcing its rights and remedies under all its license agreements, including its agreements with Unique.”

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