BEYONCE'S HOUSE OF DEREON SUED IN CONTRACT DISPUTE

Written by . Published: February 06 2010

R&B superstar Beyonce has been hit with a breach of contract lawsuit from the bosses of a Hong Kong clothing manufacturer.

The Irreplaceable hitmaker, who launched clothing collection House of Dereon with her stylist mother Tina Knowles in 2005, is accused of costing apparel maker Vier International $500,000 in an alleged conspiracy to undercut the Asian company.

In legal papers filed in the District Court in Manhattan, New York on Monday (01Feb10) Vier International owners claim executives at clothing company Donna Loren LLC and shipping firm HJM International worked together as "conspirators who induced the shipment of goods to the United States with the intent to convert them or pay less than the agreed upon contract price".

Beyonce and her partners at House of Dereon and her Beyond Productions company reportedly aided the scheme by making purchase orders and requesting manufacturer specifications, reports WWD.com.

Vier International executives are suing for compensation and they have also filed the complaint under the Racketeer Influenced and Corrupt Organizations Act (RICO), a statute usually reserved for the prosecution of organized crime gangs like the mafia.