– AMERICAN APPAREL LAWSUIT: American Apparel Inc. and founder and chief executive officer Dov Charney have agreed to binding arbitration in a sexual harassment lawsuit filed in California by a former employee. Mary Nelson, who was fired in 2005, accused Charney of holding meetings in his underwear and using vulgar language that disparaged women. Attorneys for Charney and Los Angeles-based American Apparel argue the language was part of the creative process, and said Charney was acting as a fit model for the company when he appeared in his underwear.
– NORDSTROM EXPANDS: Nordstrom plans to open a two-level, 138,000-square-foot store in spring 2010 at Fashion Island in Newport Beach, Calif. The store will be built on the site of a former Macy’s Women space vacated in 2006 when a full-line Macy’s opened at Fashion Island. The new location will be Nordstrom’s sixth full-line store in Orange County. Fashion Island also includes Neiman Marcus and Bloomingdale’s among its 200 stores and restaurants.
– ANNE KLEIN DEPARTURE: Eileen McMaster, Anne Klein’s vice president of corporate communications, is leaving the company to pursue other interests. Her last day is Friday. For seven years, McMaster worked for the brand, overseeing its marketing, advertising and public relations, through the brand’s takeover by Jones Apparel Group, and the launch and subsequent shuttering of the Isabel Toledo-designed designer collection. McMaster will not be replaced, and her responsibilities will be distributed among the existing executives within the marketing department, said a Jones spokeswoman.