09/01/2010 12:55 pm ET Updated May 25, 2011

Owner Of Nicole Richie's Clothing Label Suing Well-Known L.A. Boutique Kitson

Majestic Mills, the company that owns Nicole Richie's Winter Kate clothing label is suing well-known Los Angeles boutique Kitson, the New York Daily News reports. Majestic Mills claims Kitson has $230,000-worth of clothes but hasn't paid Richie for them. Kitson director of operations Dean Khial admitted to the Daily News that the store did spend $250,000 on Winter Kate items but says that they've been trying to send $200,000 back. A Kitson rep was quick to point out that Richie has nothing to do with the lawsuit. But another rep told, "They not only failed to provide the launch and personal appearance by Nicole Richie, they shipped inferior goods, wrong sizes and the shipments were late."

Khial also talked to WWD, saying, "We are very cautious with celebrity lines since we have learned from the mistakes of celebrity lines past such as Victoria Beckham's dVb and Lauren Conrad's Lauren Conrad Collection. Not every movie will be a blockbuster--even if it looks great on paper, it takes hard work and great retail partnerships to make these celebrity clothing lines blockbusters." He also said that Kitson would countersue Winter Kate for breach of contract.