The former head of Abercrombie & Fitch is suing the firm for refusing to cover his legal fees after he was accused of running a sex trafficking operation.
A lawsuit filed in October alleged the US retailer had funded a “criminal enterprise” run by Mike Jeffries over two decades.
It came after a BBC investigation revealed allegations that he had exploited young men for sex as CEO.
In response, Mr Jeffries has now taken legal action against the brand.
In exchange for serving as CEO, Abercrombie & Fitch (A&F) offered to indemnify Mr Jeffries for any claims arising out of his position with the company, according to the lawsuit filed in Delaware state court.
This included any threatened, asserted, pending or completed claim “whether civil, criminal, administrative” or other, his legal complaint says.
The contract also required the brand to either reimburse or provide advance payment to Mr Jeffries, at his request, in connection with any claim, the lawsuit adds.
But A&F has rejected his demand to cover his legal fees, it claims.
Full story: http://bbc.com
