Tory Burch: When Business Divorce Meets Real Divorce

burchwonder

Even after a marital divorce is finalized, the business divorce discord lingers, especially when both spouses are the co-founders and equal shareholders of a $2 billion fashion brand. Tory Burch, a retailer of upmarket women’s apparel, shoes, and accessories, and her ex-husband Chris Burch are embroiled in a court battle over the successful label and his own year-old fashion venture, C. Wonder.  After their divorce settlement, both remained equal shareholders of the Tory Burch brand and continued to hold their positions on its board of directors. Now Tory’s attorneys allege that Chris Burch used his access to Tory’s business information … Continue reading

Developer Takes Assets, Pins Debt on Daughter

Recently, after an eight day trial, a Suffolk Superior court jury determined that a father was liable to his daughter for breach of fiduciary duty in commandeering the family company’s assets while pinning his daughter with all the debt.[1] In 2002, while the plaintiff/daughter was still a student at Northeastern University, the defendant/father, who had worked in real estate for most of his life, created a real estate development company with the daughter for purchasing, permitting and subdividing real estate. The father made the daughter the sole shareholder and president of the newly created entity (due to his prior credit … Continue reading