Retail Giant American Apparel Gets Restraining Order Against Its Founder

1 min read
This story originally appeared on Reuters

American Apparel Inc said it was granted a restraining order against ousted Chief Executive and founder Dov Charney.

The order temporarily restrains him from breaching terms of a standstill agreement signed last year, including seeking removal of the company's board members and making negative statements in the press against the company or its employees, American Apparel said in a regulatory filing on Tuesday.

The Delaware Court of Chancery granted the restraining order on Monday.

The company sued Charney in May for violating the standstill agreement.

Charney was fired in December, six months after he was suspended for allegedly misusing funds and for allowing the posting on the Internet of nude photos of a former female employee who had accused him of sexual harassment.

(Reporting by Sruthi Ramakrishnan)

More from Entrepreneur

Get heaping discounts to books you love delivered straight to your inbox. We’ll feature a different book each week and share exclusive deals you won’t find anywhere else.
Jumpstart Your Business. Entrepreneur Insider is your all-access pass to the skills, experts, and network you need to get your business off the ground—or take it to the next level.
Starting, buying, or growing your small business shouldn’t be hard. Guidant Financial works to make financing easy for current and aspiring small business owners by providing custom funding solutions, financing education, and more.

Latest on Entrepreneur