Lindsay Lohan $5 Million Lawsuit; Clothing Line Sues & Claims Her Reputation Devalued The Brand [VIDEO]
Though she is in rehab, Lindsay Lohan is not out of trouble.
The actress was recently sued for $5 million by an apparel manufacturer for her leggings line 6126 over a licensing dispute. The clothing company, DNAM, claimed Lohan's reputation negatively affected the sales of her clothing line.
The claim, filed May 17, stated that despite the clothing line's initial success in 2010, customers started pulling out "because they did not want to be associated with Lohan's drug addled image." The complaint reported that buyers started canceling appointments and orders, and that “no one would touch the line.”
Customers began pulled out in spring 2011 and Lohan was in rehab at the time, so she was not able to help endorse the brand or provide feedback. According to the company, her legal troubles and reported drug and alcohol addictions devalued the brand.
Lohan's business partner on 6126, Kristi Kaylor, dismissed the allegations, claiming that it was DNAM that went against their licensing agreement.
"The DNAM countersuit against 6126 is frivolous and misrepresents the facts," Kaylor told E! News in a statement. "DNAM knows that it is in breach of the 6126 licensee agreement, and this suit is clearly nothing more than a transparent defense maneuver. Lindsay and I worked for over three years to build the 6126 brand and ensure its success; DNAM is merely trying to get out of honoring its financial obligations."
