Majestic Mills, the company that owns Nicole Richie's Winter Kate, has filed a lawsuit against popular El Lay boutique Kitson for unpaid merchandise.
The company claims Kitson purchased almost $240,000 of Winter Kate clothing to sell, but have failed to pay them for it.
MM also mentions the store agreed to remit payment within 30 days of receiving an invoice, which they obviously haven't done considering its been months.
However, Kitson says Majestic Mills hasn't exactly kept up their half of the agreement either.
The boutique slammed the company saying:
"We ordered goods based on the launch and personal appearance by Nicole Richie for Winter Kate, produced by Majestic Mills. They not only failed to provide the launch and personal appearance by Nicole Richie, they shipped inferior goods, wrong sizes and the shipments were late.
Kitson Japan received another stores' shipment after they paid up-front for the garments. To add insult to injury other retailers received goods before us. For the last three months we have been trying to return well over $200K of unsold goods. We gave them an ultimatum that if the goods were not picked up by Friday, we were going to donate them to a women's shelter.
They told us this was not good for the brand but we think someone should benefit from their failure to fulfill their promises.
The goods were on guaranteed sales, so we could always send back what we could not sell."
Majestic Mills wants Kitson to fork over the $239,437 on top of interest.
[Image via WENN.]