Mike Ashley cleared to continue damages fight with Rangers

Mike Ashley claims the merchandise deal was wrongly terminated

Sports Direct owner Mike Ashley has won the latest round of a legal fight with Rangers over a merchandise deal.

The Ibrox club ripped up its contract with Mr Ashley after it was alleged Rangers only received about 7p in every £1 spent on club products.

Mr Ashley claimed the deal, struck with former Rangers chief executive Charles Green, was wrongly terminated.

He took his case to the High Court in London where it has been agreed his litigation can continue.

Deputy High Court judge Richard Millett issued a written ruling after hearing competing arguments.

The judge gave no date for the next hearing.

'Merchandise boycott'

In May, Rangers' directors said they were going to rip up contracts held with a merchandise company, Rangers Retail, which they ran with a Sports Direct firm.

Rangers chairman Dave King, who took control nearly two years ago, and other directors were unhappy with the arrangement.

William McCormick QC, who led the Rangers legal team, told Judge Millett supporters were also upset.

He said fans became angry after learning the club only got about 7p of every £1 spent and had staged a merchandise boycott.

Mr McCormick said fans thought Mr Ashley, who owns Newcastle United FC, pocketed too much of their money.

He said there was a widespread view that no "self-respecting" Rangers supporter wore a replica shirt.