Dov Charney is fired from American Apparel
Founder and ex-CEO is out
Buro 24/7 closely followed the summer scandal, when it was announced that Dov Charney was leaving the brand he founded after being voted out by the board of directors.
"We take no joy in this, but the Board felt it was the right thing to do," stated board member Allan Mayer at the time. "Dov Charney created American Apparel, but the Company has grown much larger than any one individual and we are confident that its greatest days are still ahead."
The founder first came under fire in 2011 when four female former employees filed a harassment suit against him, with American Apparel supporting its founder at the time. Then, in 2012, Charney also faced a wrongful termination suit for allegedly bieng abusive and rubbing dirt in the face of a former store manager in Malibu – with the company denying all allegations.
After being fired from his role as CEO in June earlier this year, a twist of events saw Charney then return as a consultant to the brand but today American Apparel Inc. have announced that it has fully fired Dov Charney for cause and named Paula Schneider chief executive officer, effective January 5. Charney will no longer have any involvement with the brand he founded in 1989.
If Charney disputes the board's decision in court this could now lead to a long legal battle as the company seeks to make a fresh start under new leadership.