American Apparel Asks Bankruptcy Court To OK Staff Bonuses

Law360, New York (October 30, 2015, 9:48 PM EDT) -- Hoping to stem the tide of employees jumping ship since it filed for bankruptcy this month, American Apparel asked the Delaware bankruptcy court Friday to approve retention bonuses for staff members it says are critical to the company’s operations and reorganization. 

The clothing retailer also asked the court for approval to collect funds from its insurer to cover defense costs for lawsuits including one filed by former CEO Dov Charney.

Since its Chapter 11 filing Oct. 5, American Apparel said it has lost 30 members of its...
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