American Apparel Faces Lawsuit, Layoffs
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"These claims are baseless, and we are confident that Dov will lose on each and every one of these," American Apparel said in an email statement to Bloomberg and Reuters.
Charney launched his company in 1989. It went public in 2007, but has suffered financial troubles in recent years, most notably not making a profit since 2009. In June, the board voted to suspend him with the intent of terminating his employment. The board fired him for cause and hired Paula Schneider to replace him as CEO in December.
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- Companies:
- American Apparel
- People:
- Dov Charney
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