NECA/Diamond Distribution Holding up HoT

[themonkey]

I don't know how credible this is (that's why it's in this forum), but it sounds reasonable.

I was talking to the owner of our local venue asking her if they knew anything on ordering HoT, or a release date.

According to her, no official announcement has been made because things need to be worked out between NECA and Diamond Distribution.

Apparently Wizkids signed an exclusive distribution agreement with Diamond. NECA doesn't have any exclusive distribution agreements for it's products and wants to sell Heroclix through multiple vendors. Because HoT was so far in production with Wizkids before they want under, it has to be worked out to see if Diamond's exclusive distribution rights still hold (they were in year 2 of a 5 year deal).

So apparently we won't hear anything until the lawyers work it out.

[cripp]

so what if they change the name of the set.

[GreenLantern73]

A name change will not affect anything. What the OP is trying to ay is that NECA doesn't want to have to use WK's exclusive agreement for distro & Diamond/Alliance does.

[phantalien]

Now that is a rumor that sounds reasonable. Credible, I dunno, but that is OK.

[BattlinBichon]

I don't know how credible this is (that's why it's in this forum), but it sounds reasonable.

So apparently we won't hear anything until the lawyers work it out.

Be careful about your rumors lest the Boo Birds of the realms get ya. I know first hand.:p

[Munchoboy]

FWIW, I have not heard anything to confirm what the OP has stated in the first post. I've also not heard anythnig along the lines that NECA will not distribute through D/A.

I'm not saying it's untrue, only that I'm still in touch with some folk, and just haven;t heard anything like this thus far.

Overall, I would caution folk to not nibble too greedily at the roots of rumor. I know we are all hungry for news, but spreading such innuendo will not help anything. ;)

[themonkey]

Yep, it's a rumor (that's why I put the post here).

Don't know if it's true or not, but it sounded reasonable. And I know the person who told me wouldn't say anything unless she believed it.

And I hear a lot of wondering why stores haven't gotten purchase information. This could be why. Overall, if the only thing slowing HoT up is a distribution license things are going pretty well.

[comical]

I had a conversation with D/A salespeople (who generally don't actually know anything real, so I haven't even posted it as rumor) but their general, carefully worded, vague take on the situation was that if clix were back D/A would not get in the way as long as they weren't shut out.

Again, that was from sales, which are probably three steps away from contract management, but the rumor that the exclusive deal is a problem is, I humbly opine, probably just residual wind from people speculating about it, or at best overstated. The owner may have heard something from someone, but the root and accuracy of it, who know ... come to think of it I don't know why I keep chiming in on the rumors threads. :)

The part about not hearing anything until the lawyers work it out ... that I believe 100%. :)

[bullseye100]

Hopefully if this is true they can get it settled soon...

[maddragon13]

The D/A exclusive distribution rights were a contract between Topps and D/A when Topps still owned the rights to heroclix. Topps no longer owns the rights to heroclix. So said exclusive deal is no longer in effect. NECA is the new owner of heroclix. They do not have to abide by the contract of two other companies because they were not a part of the deal. They can do whatever they want with heroclix now, disspite whatever D/A feels about the issue. Even if D/A wanted to hold up production on HoT, they have no legal right to do so. And that's about it in a nutshell. NECA does not abide by any contracts they were not apart of.

[drfate98]

The D/A exclusive distribution rights were a contract between Topps and D/A when Topps still owned the rights to heroclix. Topps no longer owns the rights to heroclix. So said exclusive deal is no longer in effect. NECA is the new owner of heroclix. They do not have to abide by the contract of two other companies because they were not a part of the deal. They can do whatever they want with heroclix now, disspite whatever D/A feels about the issue. Even if D/A wanted to hold up production on HoT, they have no legal right to do so. And that's about it in a nutshell. NECA does not abide by any contracts they were not apart of.

That may or may not be true in this case, I certainly don't know the details, but I think the statement is a little broad. When you buy a company or product line, in addition to acquiring the assets, you generally also acquire debts and certain contractual obligations related to those products. If it were as simple as not being party to original contracts and agreements, we wouldn't be hearing so much (in everything, not just Heroclix) about the "lawyers" holding things up. From the D/A perspective, if I entered into a contract in good faith, have fulfilled my side of the bargain, and if the contracts say I retain an interest, ie. distribution, then I am entitled to protect that interest.

[tom730]

Also if it were true that buying WIZKIDS/Heroclix did not tie them to any contractual obligations that works two ways - and suddenly NECA has to work out a deal with Marvel and DC for the rights to use their IP.

Someone once said life is a Monopoly game and only the lawyers are allowed to look on the inside of the box for the actual rules.
:laugh:

[Miraclo]

Keeping mindful of this being just a rumor, I do find it credible. It all involves contracts we'd never see, so we don't know the details.

For Heroclix to really re-launch we know that Diamond/Alliance has to handle a fair chunk of the distribution - it's really not going to flow well into most of the hobby - but especially the comics - retail system if it's not offered that way.

As best I understand it Wizkids/Topps entered into the exclusive deal with Diamond/Alliance in Jaunary of '07 for two reasons: 1. Supposedly for better control of the product into the hands of brick and mortar retailers so as to better control the market prices(or as Tuttle phrased it, "protecting the equity of our brands"), and 2. for warehousing, as Wizkids didn't want to have to maintain large scale warehouse facilities for product. (I've never had a sense of scale and depth for the facility where Rose was working.) I'm presuming both of those issues may still be in play, but for all I know NECA - dealing in collectibles as it does - is very comfortable with maintaining a large product warehouse and, having its own system of wholesalers already in place, may not want to start getting into exclusive distribution deals for one section of its business.

In reviewing the press release at the time of the exclusivity (http://www.icv2.com/articles/news/9883.html) it's important to note that Wizkids is what is mentioned, not Topps. It seems reasonable that the documents signed at the time identified Wizkids as one party, and since NECA has bought Wizkids as an entity - even presenting themselves as that brand at recent convention appearances - that the exclusive distribution agreement with Diamond/Alliance would still be in force... much as the licensing agreement with Marvel and DC seems to be. If it weren't, then the new Wizkids would have had to sit down with Marvel and DC at the start and sign a new licensing agreement as others above have mentioned.

[bullseye100]

Too... much... legal... mess... head... about... to... explode!

[Steelmage2000]

I am sure there maybe other reasons why venues cannot order HoT right now. The rumor maybe correct or it maybe someone's guess.

[drfate98]

Too... much... legal... mess... head... about... to... explode!

Take a breath! If the rumor is true, evidently NECA and D/A are trying to decide if we will be able to buy our Heroclix at Wal-Mart also.

[Munchoboy]

I am sure there maybe other reasons why venues cannot order HoT right now. The rumor maybe correct or it maybe someone's guess.

I'll put money down on the latter. While I think speculation is harmless in of itself, I caution folk to not take this rumor to heart more than any other right now. AFAIK, there is no truth to this.

There are so many moving parts invovled with getting a set from concept to factory to distributors to retailers. Factor in the reality that you also have a company in transition with all of the elements involved with that process, and you have a recipe for impatience.

I'm not admonishing anyone here, just stating my observations and experiences. Let's look at the recent developments;

Earlier this summer Topps essentially announced that they would begin the process of manufacturing HoT for a Topps-helmed release while they continued to shop the WK brand to potential buyers. Within a month or so of Topps' announcement, we begun hearing testimonials from our fellow players about NECA and WK at SDCC. Shortly after that, NECA/WK attended GenCon and spoke with any and all comers regarding the new deal and NECA's acquistition of WK.

Players were initially told to expect an announcement as early as the Friday after SDCC. This was later ammended to expect an announcement shortly after GenCon. We are now close to a month after GenCon and folk are beginning to become "itchy" (understanably so).

AFAIK, no one element has held up the process of putting HoT in our grubby little hands more than any other. This is a huge deal and there are several issues being worked out prior to the announcement. Personally, I would rather the lawyers take the extra time to ensure as smooth a transition as possible than to rush things for our (the fans') elation and then have to endure speed bumps further down the road.

Just my $.02

[AUKOS]

I'll put money down on the latter. While I think speculation is harmless in of itself, I caution folk to not take this rumor to heart more than any other right now. AFAIK, there is no truth to this.

There are so many moving parts invovled with getting a set from concept to factory to distributors to retailers. Factor in the reality that you also have a company in transition with all of the elements involved with that process, and you have a recipe for impatience.

I'm not admonishing anyone here, just stating my observations and experiences. Let's look at the recent developments;

Earlier this summer Topps essentially announced that they would begin the process of manufacturing HoT for a Topps-helmed release while they continued to shop the WK brand to potential buyers. Within a month or so of Topps' announcement, we begun hearing testimonials from our fellow players about NECA and WK at SDCC. Shortly after that, NECA/WK attended GenCon and spoke with any and all comers regarding the new deal and NECA's acquistition of WK.

Players were initially told to expect an announcement as early as the Friday after SDCC. This was later ammended to expect an announcement shortly after GenCon. We are now close to a month after GenCon and folk are beginning to become "itchy" (understanably so).

AFAIK, no one element has held up the process of putting HoT in our grubby little hands more than any other. This is a huge deal and there are several issues being worked out prior to the announcement. Personally, I would rather the lawyers take the extra time to ensure as smooth a transition as possible than to rush things for our (the fans') elation and then have to endure speed bumps further down the road.

Just my $.02

Here,Here, rational thinking has no place on the realms. Certainly, not in the rumor section. ;)

I heard that the whole shipment was stolen by sea going pirates off the coast of Somalia and NECA had to hire Chuck Norris to retrieve their stolen property.

Stay thirsty my friends,

AUKOS

[themonkey]

I heard that the whole shipment was stolen by sea going pirates off the coast of Somalia and NECA had to hire Chuck Norris to retrieve their stolen property.


That's one rumor that I know can't be true. If they hired Chuck Norris to get the shipment back today, HoT would have been on the shelves last March. He's just that good.

[krusticlese]

I really hope that they aren't forced to distribute through D/A exclusively anymore. That's exactly what lost them a ton of venues in the 1st place.

And I'd love to see HoT in Wal Mart. $11.99 boosters for $9.99 or less? Sign me up!

[tom730]

Apparently this is no longer an issue -

www.hcrealms.com/forum/showthread.php?t=261005