Dolce & Gabbana May Be Forced To Shutter Due To Tax Fines; Gets Slapped With Another Lawsuit
Stefano Gabbana and Domenico Dolce take a bow at Milan Fashion Week.
Photo: Getty Images
Oh man, this Dolce & Gabbana situation is getting dire and shows no sign of letting up. Remember last month when we reported that the Italian designers—Domenico Dolce and Steffano Gabbana—were potentially facing a year and eight months jail time due to reported tax evasion charges? Well, they're now expected to pay $460 million in fines to the Italian government and the duo attests that they'd be forced to shutter in the event that the verdict stands. "If we deserved the sentence, there would be nothing to say," Gabbana told The Telegraph on Wednesday. "But we do not deserve it, and so unfortunately we would have to close." Domenico Dolce maintains the same. "We will close. What do you want us to do? We will close. We will not be able to deal with it. (It's) Impossible."
This past weekend, in order to protest the verdict, nine Dolce & Gabbana retail locations in Milan (that included their bar and restaurant) remained dark with a sign that they were closed "in disdain." The pair did continue to pay their 250 employees over the three-day vigil and deny any fault asserting that the tax evasion fine was based on a company valuation that was completely abstract.
As if that weren't enough drama, they're also being simultaneously sued by Peter Fonda who is seeking damages in the amount of $6 million for punitive damages and legal fees. The actor and director claims that he's owed profits generated from the Dolce & Gabbana "Easy Rider" T-shirt series from the designers' FW 2013 mens collection that features his likeness and stills from the movie for nine different designs. Each tee costs $295 and Fonda claims in his suit that he'd "suffered injuries to his peace, happiness, feelings, goodwill, reputation, image, loss of fair market value of his services, and dilution of his current and future publicity value.”
Uuuuuuuuuuuugh. I am so legit torn on how to feel about the matter, it's crazy. I can't think straight about the tax stuff since I'm useless when it comes to such pecuniary issues and it deffo feels shady that they'd sell their company to a holding company in Luxembourg that does absolutely nothing for one BILLION Euro in 2004 because somethingsomething tax shelter. And while I can't be entirely angry that so many of the comments on various media posts on the subject are completely whatevs since we are ultimately talking about a luxury brand that 90 percent of the universe can't afford, I'm also plain bummed.
I realize that Dolce & Gabbana extinction means wonderful things for the resale value of my D&G and Dolce & Gabbana collection that I've dutifully kept on ice, but I also just feel bad for the pair of Italians who seemed sorta lovely in their interview with Cindy for HOS (I've embedded the video for the umpteenth time below). And if you think that I'm just waffling like crazy and insane for even trying to side with insensitive European colonialists (-___- at "moorish jewelry"), I can't blame you. But I think I'm forever ruined and will love them at least a little always because at the end of the day: Baz Luhrmann's Romeo + Juliet. Dolce and Gabbana did the costuming and styling for that thing and it was purest movie magic. You can think whatever you like but I will miss them if they go. Leonardo DiCaprio in chainmail. Think about it.
+ WATCH CINDY CRAWFORD WITH DOLCE & GABBANA
