Lululemon Board Ignored Toxic Work Culture, Investor Says

By Vince Sullivan (November 28, 2018, 8:45 PM EST) -- In a Delaware Chancery Court derivative complaint made public Wednesday, an investor in exercise apparel maker Lululemon Athletica Inc. said the company's board ignored the behavior of its former CEO, creating a toxic work environment to the detriment of the company's financial position and reputation.

In the complaint filed a week ago, shareholder David Shabbouei alleges former CEO Laurent Potdevin fostered a "boys' club culture" at the company's upper management levels that promoted bullying, sexual harassment and gender discrimination while alleging the board of directors did nothing to prevent the ongoing pattern of toxic behavior.

The suit claims that after Potdevin...

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