HONG KONG / LOS ANGELES — Playboy Enterprises has scored a major legal win in an $81 million arbitration ruling against a former licensing partner in mainland China, reinforcing its commitment to global brand integrity and partner accountability.
Arbitration Victory Secures Brand’s Global Strength
Playboy Enterprises International Inc. (PEII), the Los Angeles–based subsidiary of Playboy Inc., successfully brought a claim against New Handong Investment (Guangdong) Co. at the Hong Kong International Arbitration Centre, citing breaches in their longstanding licensing agreement.
The arbitration case, initiated in February 2024, centered around licensing mismanagement after a once-promising partnership crumbled. The two companies had originally teamed up to expand Playboy-branded fashion retail, opening over 3,500 locations across China since 2015. However, New Handong reportedly failed to uphold its contractual responsibilities, leading to legal escalation.
Playboy CEO Speaks Out
Ben Kohn, CEO and President of Playboy Inc., issued a firm statement following the victory:
“We believe justice has been served with this ruling by the Hong Kong Arbitration Tribunal. Playboy is one of the most recognizable brands in the world, and the award highlights the value of the brand.”
He further emphasized the company’s stance on intellectual property and partner protection:
“Playboy will continue to vigorously protect its official licensed partners, brand, and intellectual property worldwide.”
What Happens Next?
Under the ruling, New Handong must pay Playboy $81 million, including interest, by September 20, 2025. Failure to comply could result in additional sanctions or enforcement actions.
Despite the ruling, Playboy acknowledged the uncertainty of collection, stating:
“We intend to pursue all appropriate enforcement actions, but we cannot guarantee the full recovery of monetary damages.”
Global Implications for Brand Licensing
This case sets a strong precedent for global brand licensors, especially in high-growth markets like China, where enforcement of intellectual property and contractual rights can be complex.
Playboy’s decisive action sends a message: major lifestyle and media brands are no longer willing to tolerate misrepresentation or underperformance from regional partners.
