Uh oh! While the Kardashian sisters are known for their constant presence on social media, their absence about giving props to their self-named beauty line has caused them to be sued for $180 million, with accusations of fraud and deceit!
The Kardashian sisters are worth a fortune, and a financial management company wants a $180 million chunk of it according to a new lawsuit. They allege that Kourtney, 36, Kim, 35, and Khloe Kardashian, 31 failed to tweet about and generate buzz for the “Kardashian Beauty” products that Hillair Capital management bankrolled, which caused the line to go bust and cost the company up to $180 million in lost profits!
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It’s hard to imagine the Kardashian sisters not going full-blown on their Twitter over a beauty line named after them, but a new lawsuit says they failed to promote “Kardashian Beauty” as they had agreed to, and the potential profits lost are gigantic according to the legal docs. The ladies started their “Khroma” beauty products line with a company called Boldface back in 2012, but a legal hassle over the product name forced it to be changed to “Kardashian Beauty,” but by that time Boldface was going under. To hear more about Kim Kardashian, head over to iTunes and download the latest HollywoodLife podcast for free!
Enter Hillair Capital Management, which seemed to be a savior for the sisters at the time, buying out Boldface and sinking $10 million into the business. But the company alleges that even after they came in and gave their beauty line the cash to succeed, the Kardashians ladies stopped promoting “Kardashian Beauty” to their millions of fans because they wanted to shop around for a more lucrative deal elsewhere.
The lawsuit alleges breach of contract, fraud and deceit, breach of covenant of good faith and fair dealing, breach of fiduciary duty, promissory estoppel and negligent misrepresentation by the sisters. Get Keeping Up With The Kardashians Season 11 by clicking here.
Now Hillair wants its original $10 million they invested back, as well as the amount in potential profits they could have made had the sisters extolled the greatness of Kardashian Beauty to the world, which they claim is around $170 million! Wow! We know the sisters turn gold into anything they touch, but that’s a staggering number!
HollywoodLifers, do you think the Kardashian sisters will fight the lawsuit or come to some sort of settlement to make it go away?