Sports Direct have reportedly been granted an interim injunction that could halt Rangers from selling their new Hummel kit to fans.
The sportswear retailer, owned by former Rangers shareholder Mike Ashley, claimed that a deal with the Ibrox club has been breached.
The case was heard earlier this week by Mr Justice Bryan in the High Court of Justice.
It centres on Sports Direct’s previous agreement with Rangers, the Scottish Sun reported.
SDI Retail Services Limited (Sports Direct) say they should have been given the opportunity to match “some or all” of a third-party offer to sell Rangers merchandise.
The judgement said: “It is said that if Rangers is not restrained from doing so by this court its actions will thereby wrongly deny SDIR the opportunity to continue to provide some or all of the services to Rangers after the expiry of the initial term.”
Rangers lawyers told the court: “The Notice of Offer sent on 4 June was valid and complied with the requirements of the retail agreement. It was also made clear that it was said to be vital to Rangers’ business model for the next and following seasons for it to launch its retail operations from 1 August, four days before its first fixture and to be able to do so it required to conclude a deal with the offeror as soon as practicable after the 10 day business period from 20 June expires.”
Full details of the hearing were revealed by the British and Irish Legal Information Institute.
The case will be heard again this Tuesday.