Widow loses Delorean suit over royalties

NEWARK, N.J. — A federal court dismissed a lawsuit brought by the widow of automaker John Delorean over royalties stemming from the “Back to the Future” movies.

Sally Delorean claimed that a

Texas company using the Delorean name had illegally accepted royalties from Universal Pictures for the promotional use of images of the iconic car. But a judge ruled Friday that a 2015 settlement agreement in a separate lawsuit over trademarks prohibited her from suing for the royalties.

Delorean, who lives in New Jersey, claimed that the Delorean Motor

Co. had illegally profited from a

1989 agreement between her late husband and Universal. That agreement gave John Delorean and his heirs 5 percent of net receipts for any merchandising and promotions that featured the car and logo “as a key component.”

The Texas company isn’t affiliated with the one John Delorean started but was allowed under the 2015 settlement agreement to use the Delorean name and trademarks.

Sally Delorean claimed that the Texas company had illegally represented to Universal that it had the right to the royalties and had already received “a substantial payment” from Universal. She argued in the lawsuit that the 2015 settlement didn’t transfer contractual rights to the company.

In his opinion, U.S. District Judge Jose Linares wrote that the 2015 settlement agreement covers the Universal agreement even though it doesn’t mention it explicitly.

John Z. Delorean left General Motors in the 1970s to start his own company and eventually produced the distinctive DMC 12, which became known simply as “the Delorean.”

Only about 9,000 of the cars were produced before the company went bankrupt in the early 1980s, but it attained cult status thanks to its inclusion in the “Back to the Future” movies.