Former CEO takes American Apparel to court

Multiple court cases

Dov Charney cites defamation, mental and emotional distress in his court case, while it is not the first time he has taken his former company to court. His other court case involves Standard General LP, one of the American clothing manufacturer’s largest investors. In that case, he demands 30 million dollars (26 million euro).

Charney was relieved as CEO in June 2014 because his actions allegedly hurt the company. Six months later, he was removed from the company – which he founded – entirely. Officially he still owns about half of the company, but his shares are part of a loan pledge and are currently controlled by Standard General.