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Chico's withdraws complaint against Cache

10 Sep '10
2 min read

Chico's FAS, Inc. and White House | Black Market, Inc. (WH|BM) will continue to pursue their complaint against Cache, Inc. (Cache) and two former WH|BM employees in the Supreme Court of the State of New York, County of New York, alleging theft of WH|BM trade secrets.

"We withdrew our request for preliminary injunctive relief because the proceedings could not be completed in time to enjoin Cache from selling through products developed from our confidential information," said Donna Noce, Brand President--WH|BM. "However, our former employees' return of thousands of pages of WH|BM documents including our proprietary designs and confidential information during the discovery process confirms the strength of our case. We intend to proceed in order to protect the interests of our company, our shareholders, and the creative efforts and hard work of our employees."

The suit against Cache alleges, among other things, that in an effort to "fast track" Cache's way out of "repeated seasons of declining sales and unprofitability," Cache, together with the two former employees, both of whom joined Cache from WH|BM in the fall of 2009, misappropriated the trade secrets, proprietary designs and confidential information of WH|BM, a successful direct competitor of Cache.

The Company is a women's specialty retailer of private branded, sophisticated, casual-to-dressy clothing, intimates, complementary accessories, and other non-clothing gift items. The Company operates 1,134 specialty stores in 48 states, the District of Columbia, the U.S. Virgin Islands and Puerto Rico, under three brands.

Chico's FAS Inc

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