a store within a store in jcpenney. macy's not happy. it's been eight years since martha stewart left prison, serving five months for lying about a stock sale. goodbye wrap sheet, hello cotton sheets. a deal with macy's helped her company rebuild. >> macy's was really important in giving her a leg up, and, you know, giving her a helping hand. >> macy's obviously recognized the brand and the value of the brand, the quality of the merchandise. >> now stewart is back in court. macy's is suing her company over a deal with jcpenney. her defense, a contract loophole. "the macy's contract is written to allow martha stewart living to sell a broad range of products in jcpenney, with no restrictions whatsoever in a store inside jcpenney. but brand experts say the suit is trouble. >> she was married to macy's. but she went off and had an affair and got in bed with a direct competitor with jcpenney,