American Apparel Founder Sues Company After Being Ousted For Sexual Harassment

TYT Network

According to the L.A. Times, the yearlong battle between American Apparel Inc. and its founder Dov Charney has taken another twist. Charney filed a lawsuit accusing company officials and hedge fund Standard General of conspiring to push him out of the company last June.

According to The Huffington Post, Charney, who was fired last year in the wake of numerous sexual misconduct allegations, claimed in the lawsuit that the company’s investigation against him was not “independent.”

The lawsuit, part of a group of legal actions by both sides, alleges fraud and conspiracy, among other things. Charney is seeking damages of $100 million and wants agreements rescinded that gave control of his American Apparel stock to Standard General hedge fund and had him removed from the company’s board.

In other news, American Apparel’s new CEO, Paula Schneider, promised to meet with a Filipino American community service organization which threatened to go to court over former CEO Dov Charney’s alleged slurs against Filipino employees.