FOREVER 21 Inc. has been turned back in its effort to bring libel cases against 19 garment workers who claim the Los Angeles retailer failed to pay legal wages and forced them to work in deplorable conditions.

In separate decisions, a three-judge panel of the 2nd Appellate District on April 21 granted the Coalition for Humane Immigrant Rights of L.A. dismissal of a libel suit filed by Forever 21, while also granting the Garment Workers Center the right to proceed in a similar manner.

Forever 21 sued both groups, alleging that demonstrations and boycott leaflets distributed outside its stores defamed the retailer because the complaining garment workers weren't employed by the company, according to statements in the recent rulings.

The garment workers, who worked for apparel manufacturing firms that supplied Forever 21, sued over working conditions in 2001. After proceedings to decide where it should be argued, a federal judge in March ordered the state court.

The rulings in the libel cases are significant for the wage case, said Douglas Mirell, a partner at Loeb & Loeb LLP representing the Garment Workers Center. The ruling cited State Labor Commissioner Arthur BRONSTAD Lujan and Attorney General Bill Lockyer, both of whom have said businesses that contract for garment manufacturing are among those liable for abuses in the industry as defined under state Labor Codes.

"The interpretation of the statute by the State of California, both the Labor Commissioner's interpretation as well as the AG's interpretation, are what should win the day in that case," Mirell said.

Forever 21's lawyer, Wayne Flick, a partner at Latham & Watkins LLP. could not he reached for comment.

Trial and Tribulation

The Rev. Tim LaHaye, co-author of the best-selling. "Left Behind" series of Christian books, has lost a four-year fraud and negligent misrepresentation case against the producer of the film based on the first book.

Judge Terry Hatter of the U.S. District Court, Central District of California threw out LaHaye's claims against Goodneuz Group LLC over terms of a 1997 contract to produce a movie based on "Left Behind: A Novel of the Earth's Last Days."

Under the contract with Kentucky-based Goodneuz, which does business as Namesake Entertainment, LaHaye and co-author Jerry Jenkins, who is not a party to the suit, agreed to assign movie and television fights to the first and second of what is now a 12-book series. The agreement also grants Namesake the fights to sequels and prequels.

According to LaHaye's original complaint, Namesake produced the movie with a budget of $17.4 million, even though the agreement called for a budget exceeding $40 million.

"This lawsuit was devastating to them because they had one of the most prominent ministers in the country suing them for fraud," said Bryan Merryman, a partner at White & Case representing Namesake.

Staff reporter Amanda Bronstad can be reached at (323) 549-5225 ext. 225, or at abronstad@labusinesajournal.com.