Bed Bath Says 1-800-Flowers Reneging on Deal Due to Virus (1)

Bed Bath & Beyond Inc. asked a Delaware court Thursday to block 1-800-Flowers.com Inc. from using the Covid-19 pandemic to back out of its planned $252 million acquisition of a keepsakes website from the retail giant.

“At the time the parties entered into the agreement in mid-February, the outbreak of Covid-19 in other countries was universally public knowledge, as was its potential to impact the economy,” the lawsuit says.

The transaction would make PersonalizedMall.com LLC, or PMall, a wholly owned subsidiary of 1-800-Flowers, which would also get an Illinois distribution facility.

It was supposed to close March 30, but 1-800-Flowers ...