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Well, that was fast: The New York Post reports that a Brooklyn judge has put the sexual harassment lawsuit against Dov Charney on hold. Charney's attorney, Stuart Slotnick, argued in court papers that the alleged victim "brought this action after making a number of extortion-like threats to expose the company to a threatened avalanche of litigation and negative publicity." He also cited American Apparel's arbitration agreement with the plaintiff, Irene Morales, and asked the judge to sanction her for instigating a frivolous lawsuit.
Morales's lawyer, who has accused American Apparel of trying to deflect attention from the accusations, called the arbitration contract "improper and unenforceable." But it sounds like he didn't win over judge Bert Bunyan. Not only did Bunyan temporarily press pause on the suit, but he also ordered a hearing on whether it should be allowed to continue at all.
· Charney suit halted [NYP]
· American Apparel Responds to $250 Million Sexual Assault Suit [Racked NY]
· Dov Charney's Accuser's Lawyer Speaks Out [Racked NY]