American Apparel Harassment Cover-Up Revealed

Law360, New York (November 4, 2008, 12:00 AM EST) -- A purported cover-up in a high-profile sexual harassment suit against clothing manufacturer American Apparel Inc. and its notoriously lewd CEO Dov Charney was revealed to the public last week when a California appeals court issued a ruling compelling arbitration for certain matters related to the settlement.

The opinion, published Oct. 28 by the Court of Appeal of the State of California, Second Appellate District, disclosed that American Apparel had arranged a “fake” arbitration with Mary Nelson, a former sales manager who sued the company in 2005...
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