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| 'Reinstate me or I'll sue': American Apparel's Dov Charney vows to win company back after being fired | 'Reinstate me or I'll sue': American Apparel's Dov Charney vows to win company back after being fired |
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| Disgraced American Apparel founder Dov Charney is set to sue the retailer after being fired following an internal investigation into alleged misconduct. | Disgraced American Apparel founder Dov Charney is set to sue the retailer after being fired following an internal investigation into alleged misconduct. |
| The 45-year old, who founded American Apparel in 1998, is set to sue the company for wrongful termination after the board of directors unanimously voted to oust him last week and refused to meet him to discuss the future of the company. | The 45-year old, who founded American Apparel in 1998, is set to sue the company for wrongful termination after the board of directors unanimously voted to oust him last week and refused to meet him to discuss the future of the company. |
| In a letter, leaked over the weekend, the board accused Charney of misuse of company funds and argued his alleged misconduct damaged the retailer's reputation following a string of sexual harassment lawsuits, including claims that he assaulted one employee during a job interview. All the claims were either settled or dismissed. | In a letter, leaked over the weekend, the board accused Charney of misuse of company funds and argued his alleged misconduct damaged the retailer's reputation following a string of sexual harassment lawsuits, including claims that he assaulted one employee during a job interview. All the claims were either settled or dismissed. |
| The board also highlighted Charney knew of the existence of a blog which impersonated former employees and created defamatory posts about the company, but took no action to stop it. The blog in question also featured photographs of former American Apparel employee, Irene Morales, who sued Charney in 2012 claiming he made her his "sexual slave", but later lost the case. | The board also highlighted Charney knew of the existence of a blog which impersonated former employees and created defamatory posts about the company, but took no action to stop it. The blog in question also featured photographs of former American Apparel employee, Irene Morales, who sued Charney in 2012 claiming he made her his "sexual slave", but later lost the case. |
| In the letter, also board also argued Charney refused to participate in mandatory sexual harassment training and violated company policies by making derogatory remarks at employees of "certain ethnicities or related to their gender, sexual orientation or religious persuasions". | In the letter, also board also argued Charney refused to participate in mandatory sexual harassment training and violated company policies by making derogatory remarks at employees of "certain ethnicities or related to their gender, sexual orientation or religious persuasions". |
| His lawyer, Patricia Gliser told the LA Times, Charney, who remains the largest shareholder in the company, and his team "question the legitimacy" of the investigation and pointed out that most claims "involve activities that occurred long ago" and the board had knowledge of. His lawyers have given American Apparel until Monday to reinstate him or he'll sue. | |
| The company, known of its racy advertisements, has seen sales decline and struggled with debts. Earlier this year it appointed restructuring advisers to help pay down a $240 million (£141 million) debt pile. | The company, known of its racy advertisements, has seen sales decline and struggled with debts. Earlier this year it appointed restructuring advisers to help pay down a $240 million (£141 million) debt pile. |