Can firing Dov Charney save American Apparel?

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The ousted founder of American Apparel Dov Charney is going down fighting as he threatens to sue following his removal from the company.

Dov Charney fired from American Apparel over sexual harassment lawsuits - falling sales - high street brand - shopping news - handbag.com

© American Apparel

Things are getting ugly at American Apparel. The company's CEO was fired from the company last week following on-going investigations into sexual harassment and financial misconduct. However Charney is not backing down.

According to the Los Angeles Times, the disgraced founder of the fashion brand and his lawyer have claimed his removal was illegal.

"By presenting Mr. Charney with this absurd and unreasonable demand, the company acted in a manner that was not merely unconscionable but illegal," his lawyer Patricia Glaser wrote.

"For one thing, the company denied Mr. Charney any meaningful opportunity to consider his options."

However the board who made the decision to remove Charney are not surprised.

"It's what we would expect from Dov's attorney in a situation like this," explained company co-chairman Allan Mayer, we imagine while shrugging his shoulders.

"…but we continue to believe firmly that we did the right thing, for the right reasons, in the right way."

Buzzfeed reportedly got hold of Charney's removal letter, which cites the many sexual harassment lawsuits as one of the reasons for his firing.

It also calls out misuse of finances to pay for personal family travel and "litigation and defence costs, significant settlement payments, substantial severance packages that were granted to employees, and unwarranted business expenses."

The company took the decision as it is struggling financially with poor sales and heavy debt.

"We take no joy in this but the board felt it was the right thing to do," Mayer said at the time.

With the many insane stories already coming out about Charney's behaviour (keeping an employee as a sex slave, abusing shop staff, oh and did you see the one about him dancing around naked at a company party?) it'll be interesting to see if Charney keeps on pushing back, what other stories of depravity will emerge.

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