The lawsuit between a former Marc Jacobs executive and the company has been settled out of court, papers filed in New York in late December show. The lawsuit was "resolved to the satisfaction of both parties," an LVMH spokesperson told the Huffington Post. Patrice Lataillade, who was Marc Jacobs International's chief financial officer, claimed he was fired for complaining about company president Robert Duffy's behaviour in the workplace. The company countered that Lataillade was dismissed over "serious financial misconduct" unrelated to his allegations, which Lataillade denied.
Updated Tuesday June 21: LVMH has further outlined the reasons as to why former Marc Jacons executive Patrice Lataillade was fired. Lataillade is currently suing the brand, claiming he was dismissed after objecting to a sexually discriminative environment - apparently imposed by Robert Duffy. "The filing focuses on a purely technical matter and is simply an attempt to deflect attention from the facts concerning the serious financial manipulations of Patrice Lataillade, which were the sole reason he was terminated by Marc Jacobs," a spokesperson for LVMH said.
According to WWD, the company's counterclaim read that Lataillade was sacked after he "overstated by several million dollars to give the appearance that budget and bonus targets had been met". On Friday Lataillade demanded that Robert Duffy himself should personally respond to the claim.
Updated Thursday March 31: LVMH has defended Robert Duffy against claims made by a former Marc Jacobs chief operating officer, alleging that the company's president is guilty of sexual discrimination and using company money for personal expenses. Patrice Lataillade, who was discharged in September, has this week filed a lawsuit against Duffy and is seeking lost wages, compensatory damages and reasonable attorneys' fees and costs.
"The allegations contained in the complaint are false," an LVMH spokesperson told WWD. "Patrice Lataillade was terminated as chief financial officer and chief operating officer of MJI for serious matters unrelated to the allegations contained in the complaint. MJI, LVMH Inc. and Robert Duffy will vigorously defend the case in court."
Examples of Duffy's wrongdoings, according to Lataillade, include a book that includes "photos of MJI staff in sexual positions or nude" and "Duffy's use of a nude photograph for a billboard advertisement". Lataillade said he was fired in retaliation for objecting "to a discriminatory environment offensive to him".
Lataillade started his LVMH career at Donna Karan in May 1996, before joining Marc Jacobs Inc in November 2002 as chief executive officer. He was promoted to chief operating officer in 2006.