The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
TORONTO, Canada — An Ontario Superior Court judge on Friday removed Brandon Truaxe as chief executive of Deciem, the skin care company he founded five years ago, effective immediately.
The Estée Lauder Companies, which owns 28 percent of Deciem, applied for an injunction Thursday to relieve Truaxe, after he had ordered the company to shut down in an Instagram post on Monday. Since then, many of the company's The Ordinary stores had closed and its website had been replaced by a red background. Truaxe continued to post about his fight with the beauty giant and his own staff on both his personal account and to hundreds of thousands of Deciem fans on the company's official account.
Truaxe did not attend the hearing, where the judge also removed him from the company's board and appointed co-chief executive Nicola Kilner as interim CEO. Deciem's board now consists of Pasquale Cusano, who is another minority investor, and Andrew Ross, executive vice president of strategy and new business development at Estée Lauder.
Truaxe has been stripped from any role as an officer or employee at the company and is prohibited from taking any actions pertaining to the operations of Deciem.
ADVERTISEMENT
"We are pleased with the court’s decision today, and will be working closely with Deciem’s leadership team to support and guide them as they resume operations and continue to provide consumers with the products that they know and love," said a spokeswoman for The Estée Lauder Companies.
By Friday afternoon, freestanding stores in New York City and Brooklyn were reopened.
Related Articles:
[ Estée Lauder and Deciem Founder Take Battle for Beauty Brand to CourtOpens in new window ]
Shana Randhava, Priya Venkatesh, Heela Yang and Robin Tsai will join Imran Amed and Priya Rao to identify the entrepreneurs shaping the future of the beauty industry.
By selling existing formulas under their own name, retailers can tap into the lucrative beauty market without investing in custom formulations. But that doesn’t mean the private label model is an easy win.
The San Francisco-based company is hoping to tap growing consumer demand for financing for cosmetic treatments among other services.
Once thought of as long-term disruptors who would change the way we shop forever, multi-brand online retailers that sell cosmetics, skincare, fragrance and more are facing multiple headwinds.