Report: 'Nylon' Founders Planning to Sue After Sale by Investment Partner

This is getting really messy.
Avatar:
Alyssa Vingan Klein
Author:
Publish date:
Social count:
73
This is getting really messy.
Photo: Astrid Stawiarz/Getty Images for NYLON

Photo: Astrid Stawiarz/Getty Images for NYLON

Two weeks ago, it was announced—suddenly and mysteriously—that Nylon Magazine would merge with the online style collective FashionIndie after being sold to an outside (and still unnamed) company, led by entrepreneur Joseph Mohen. 

Nylon's co-founders, Marvin and Jaclynn Jarrett—the magazine's former editor-in-chief and publisher, respectively—launched the magazine in 1999, and were reportedly blindsided by the news that their investment partner, Donald Hellinger, had sold 51 percent of the business without informing them. They (along with their Nylon staff) learned of the impending merger through friends and the media, and were allegedly locked out of their offices immediately.

Now, Page Six is reporting that the Jarretts are fighting back. The paper got word that the co-founders are planning to sue Diversis Capital LLC and Backbone Capital Advisors LLC, who helped to finance the sale, in an attempt to get control of their magazine back. According to Page Six, the Jarrett's lawyers penned a letter to the investors that states: “The company was obligated to attempt to agree with [the Jarretts] on the terms and conditions with respect to any sale.” 

While Marvin Jarrett's replacement as editor-in-chief has not yet been announced, Jacylnn Jarrett's role as publisher has been filled by Dana Fields. 

No one at Nylon was available for immediate comment, we will update this story as we get more information.