Macy's is suing Martha Stewart Living Omnimedia for breach of contract, following the announcement that the Martha Stewart brand of homewares would be sold exclusively at J.C. Penney following the expiration of her current exclusive Macy's contract. The Macy's deal was set to expire this year, freeing Martha to shill muffin tins and bath mats at Penney's starting in 2013, but Macy's claims its contract allows them the option to renew for another five years. Macy's sure seems sad it lost its shiny toy, but we're team Martha on this one. Stewart may be 70, but we're in no doubt she could still cut a bitch. And smilingly dispose of the body in four handsome, home-y, and ecologically aware ways, if necessary. [WWD]

The Etam show in Paris sounds un-missable: Grace Jones, Gloria Gaynor, The Pointer Sisters, Sister Sledge, and Chaka Khan performed their hits live while the models walked. Grace Jones kicked things off, after briefly disappearing backstage — "She did the same thing at a Louis Vuitton show in Tokyo five years ago: she disappeared and then reappeared. What counts is that she reappears," joked brand owner and Louis Vuitton Moët Hennessy scion Antoine Arnault. And for a grand finale, all the singers got onstage to do "We Are Family." The show was also notable for being Arnault and Natalia Vodianova's first planned public appearance. Vodianova is a face of the lingerie brand, and she and Arnault have been dating for months (Vodianova confirmed last year she'd split from her husband, Justin Portman) but had avoided being photographed together. [WWD]
Arnault also shared his impressions of the luxury sector with the Telegraph. "We are going to enter an era in which logo and ostentation is going to be less successful," he says. "People are going to want more quality, and less ostentation. Especially in a world in economic crisis: you don't want to be seen with evidently expensive products. Just something that is beautiful." When are these guys ever not selling "real luxury" over "mere logos"? Jesus. That's like the oldest trick in the luxury book. Arnault also says Christian Dior is in no hurry to name a creative director, even though nearly a year has passed since the firing of John Galliano (for being so very racist). "People say 'What's going on?' but inside [Dior] people are absolutely Zen about it. There is no urgency at all." Just picture the entire Dior atelier in lotus pose, saying "Om. We are not racist. Om." [Telegraph]

Chanel's couture show was held on a set that looked like an airplane. Karl Lagerfeld loves to fly, you see; he finds it terribly relaxing. There was a beverage cart, and guests entered via a long, metal-paneled hallway that looked like an airport skyway. The whole thing took five days to build. We have a full review and photos coming soon. [Telegraph, Fashionista]

Here's a first look at the ad for Jason Wu's Target collection, featuring the mas-cat, Milu. [YouTube]

Missoni has an unusual model fronting its spring campaign: Pedro Almodóvar. Juergen Teller shot the director, Angela, Teresa, and Margherita Missoni, and actresses Rossy de Palma and Blanca Suarez. The only model in the ads is Mariacarla Boscono. The campaign was shot at a Madrid restaurant called Villa Rosa, which will be familiar to fans of Almodóvar's film High Heels. [WWD]

Model Maria Bradley hails from Wichita, Kansas. Her first fashion show in New York City was for Alexander Wang, which she opened. "I had done local shows in Kansas, but in a mall, and there's a curtain we're all behind. This was nothing like anything I had ever done before. When I got there, I walked into that giant warehouse on the pier, and I was like, 'Oh…my…god,'" she says. "It was like a stadium setup back there, with like 100 people running around." Bradley, who is 17, has since traveled internationally for the first time thanks to her new job. "I had no idea the fashion world was like this. I mean, when I shot in Kansas, it was like at a Humane Society, holding puppies, and now I was thrown into this." [WWD]

There is speculation that Freja Beha Erichsen and Arizona Muse were dropped from the Chloé campaign after paparazzi photographs of them on the set emerged. To be fair, they were shooting at the Chateau Marmont, which is like the Mecca of paparazzi (in this cosmology we just made up right now, the Ivy would be their Dome of the Rock, and let's say the Grove is the paparazzi Vatican). Now, the final campaign has emerged, and it stars not Erichsen and Muse but Karmen Pedaru and Kate King. Maybe modeling's favorite lesbian couple were dropped. Or maybe they were shooting something else entirely — a campaign video, say. [Refinery29]

Speaking of campaigns, Kate Moss was shot by Terry Richardson for Mango's spring ads. Women's Wear Daily posted the images this morning, but has since pulled them. Not before we grabbed them, though. [WWD]

  • Céline announced it is skipping its runway show in Paris this March, because designer Phoebe Philo is set to give birth in April. There will still be a collection, but it will probably be shown to buyers and press in an informal presentation at the showroom, where probably everyone will ooh and aah over how nice it is for a change, how very civilized, to sit down and just enjoy the clothes, like in the old days. [WWD]
  • Prada is opening a museum in Paris tonight for just 24 hours. Francesco Vezzoli designed it along with AMO, the office of Rem Koolhaas, Prada's architect of record. You can watch a livestream of the museum's 24 hours of life on its Web site. [Fashionista]
  • In news of the coming apocalypse, six-month-old Harper Beckham has a style blog where every scrap of clothing her parents dress her in is catalogued, priced, and photographically documented. [Fashionista]
  • Someone saw that Karlie Kloss was the only person at her table to finish dessert after a dinner, and then pointed this amazing fact out to her at a Versace fitting the next day. Kloss, to whom this information was presumably not news, resisted the urge to say, "Yes, I know I had dessert, I was there," and instead replied politely, "what can I say — it pays to be 19." [WWD]
  • Are you ready for an important update on the behavioral proclivities of Karl Lagerfeld's new kitten, Choupette? Karl Lagerfeld's new kitten, Choupette, likes to eat paper. This has been an important update on the behavioral proclivities of a kitten. [WWD]
  • In other news, Chanel held back-to-back couture shows today, and tomorrow, Lagerfeld's new, lower-priced namesake line hits Net-A-Porter, with brick-and-mortar retail locations to follow. [WWD]
  • Andrej Pejic might have garnered a fragrance contract. [Fashionista]
  • Coach had a very solid second quarter. Income rose 14.5%, to $347.5 million, and sales rose 14.6%, to $1.45 billion, year-on-year. Same-store sales were up 8.8% in the U.S. [WWD]