Now American Apparel has taken out a restraining order against Dov Charney
It's a special case when the company you founded takes out a restraining order against you – but then again, American Apparel's relationship with founder and former boss Dov Charney is a special case.
The company confirmed in a regulatory filing today that it had been granted a restraining order against Charney, who was dramatically ousted from his role after a series of sexual harassment lawsuits last year, by a court in Delaware.
The order backs up a standstill agreement reached last year, which prevents him from removing the company's board members and making negative statements in the press against the company and its employees. Charney was finally ousted from the company in December, after months of wrangling. Although he had been fired from his position as chairman and suspended from his roles as president and chief executive in June, he was brought back in as a consultant after he threatened to sue the company.
The board had hoped that ousting Charney, who was known for his outspoken management style (including regularly stripping off at work), would transform the company's fortunes. But today shares were trading at 55 cents, 3.22 per cent down and their lowest since December.