BEYONCE'S HOUSE OF House of DEREON SUED UNDER RICO - JUST A MISUNDERSTANDING?
by Christa Chan-Pak, Esq., FGI Member and aspiring Fashion Lawyer
Beyonce's House of Deréon is being sued by Vier International Limited, a Hong Kong women's lingerie manufacturer, for RICO, breach of contract, fraud and conversion.
Vier claims that House of Dereon ordered over $500,000 worth of merchandise knowing it was never going to pay Vier the agreed upon price once it got to the United States, or any money at all. Ouch.
Vier, is clearly pissed-off, and not messing around, hence the RICO claim -- charges which are usually only brought against people engaged in a pattern of fraud and conspiracy, made famous by mafia families (like Tony Soprano.)
Both RICO and fraud are hard cases cases to prove against corporate entities, especially here when it seems the parties are merely in a dispute over commercial terms.
Nevertheless, if Vier's RICO claim is successful, Beyonce and company could be liable for three times Vier's damages and the cost of the suit, including reasonable attorney’s fees. House of Dereon would also be required to return the merchandise to Vier and any proceeds received from sales. There is even a possibility of jail time.
Beyonce will need to sing for more than her supper if this case does not settle.
photo credit: yazmar.com
Thanks for posting this - I have been trying to keep up with it. Too bad for Team Knowles. They seem to have found themselves in yet another legal dispute.
i dnt expect this frm beyonce n her mom... how shameful