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February 24, 2012 | last updated February 27, 2012 7:21 am

L.L.Bean ordered to pay $1M to Worcester Wreath

L.L.Bean must pay nearly $1 million to settle a long-standing legal dispute with Harrington-based Worcester Wreath Co. stemming from balsam product sales in 2008.

According to the ruling from Maine Business and Consumer Court Judge A.M. Horton, L.L.Bean owes Worcester Wreath $961,811 for the purchase of components for balsam products that were never sold, the Bangor Daily News reported. For 26 years, L.L.Bean sold Worcester Wreath balsam products, and in 2008 the Freeport retailer ordered more products than it was able to sell due to the economic recession. Horton's ruling found that Worcester was owed for the balsam tips, wire wreath frames and other materials it bought in order to ramp up production to meet L.L.Bean's anticipated demand. By 2008, L.L.Bean's orders made up 90% of Worcester Wreath's business. In 2009, L.L.Bean ended its relationship with Worcester Wreath.

Tim Woodcock, Worcester Wreath's attorney, told the paper the settlement will help Worcester Wreath fulfill its obligation to Machias Savings Bank. L.L.Bean spokeswoman Carolyn Beem told the paper that the company feels the settlement amount needs to be corrected, but that no decision on an appeal has been made.

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