The Imogene and Willie lawsuit story actually involves two separate cases. In January 2015, an early lender named Robert Anastario sued founders Matt and Carrie Eddmenson for breach of contract in federal court in Tennessee. In 2016, minority investors Robert Lamey and Paige Heid accused the Eddmensons of misusing company money on personal expenses and filed an involuntary bankruptcy petition against the Nashville denim company. Both disputes were resolved, and the brand is still operating today.
The 2016 Investor Fraud Claims and Involuntary Bankruptcy
The louder of the two disputes came in 2016. Three years earlier, in 2013, investors Robert Lamey and Paige Heid had bought a 46.5 percent equity stake in Imogene + Willie for $1.5 million.1BusinessDen. Jeans Maker Kicks Back in Lawsuit by Local Investors By 2016, that relationship had broken down. Lamey and Heid accused the Eddmensons of spending company money on personal home renovations, luxury clothing, and spa visits, and they filed an involuntary petition to push the company into Chapter 11 bankruptcy protection.2WWD. Imogene + Willie Founders Accused of Fraud
How the Company Responded
On September 26, 2016, the company pushed back in court. Represented by attorney Steven Abelman, Imogene + Willie called the “lavish lifestyle” and home furnishings allegations “particularly fallacious” and said it was current on its debts. The company also challenged whether the investors could file the petition at all, arguing that Lamey and Heid were equity holders, not creditors, and therefore had no standing to force the company into bankruptcy.1BusinessDen. Jeans Maker Kicks Back in Lawsuit by Local Investors
The Eddmensons had already tried to lower the temperature. In August 2016, they stepped down as company managers and appointed their fathers in their place, describing the move as an effort to “de-escalate what appears to have become a personal feud.”1BusinessDen. Jeans Maker Kicks Back in Lawsuit by Local Investors
Settlement and Dismissal
In November 2016, lawyers for both sides told the U.S. Bankruptcy Court in Denver they had reached a deal in principle, laid out in a five-page filing. The terms were not made public.3The Wall Street Journal. Imogene + Willie Founders, Investors Plan to Settle Dispute The petitioning creditors, Lamey and Heid, then moved to dismiss their own petition. The court granted the motion on December 5, 2016, and closed the case the same day.4INFOruptcy. Bankruptcy Case Imogene and Willie LLC
The 2015 Breach-of-Contract Suit by an Early Lender
The earlier case was filed on January 16, 2015, in the U.S. District Court for the Middle District of Tennessee. Robert Anastario sued Matt and Carrie Eddmenson personally, alleging that he had loaned them $200,000 in 2012.5Heddels. Imogene + Willie Owners Sued by Former Investor Under the loan contract, Anastario said he was entitled to a 5 percent equity payment if the company was sold, and to a 15 percent ownership interest if the Eddmensons defaulted.6Nashville Post. Imogene + Willie Owners Sued Over Breach of Contract
The complaint said the Eddmensons defaulted on their first payment in January 2013 and missed every payment through April 2013. It also alleged that in July 2013 they transferred Imogene + Willie’s assets to a newly formed Colorado entity called Court Drizzle without telling Anastario. He asked the court to declare the loan in default and to award him either an ownership stake in Court Drizzle or money equal to 15 percent of Imogene + Willie’s value before the asset transfer.6Nashville Post. Imogene + Willie Owners Sued Over Breach of Contract The publicly available docket does not show a final ruling or a published settlement.
Where the Company Stands Now
Imogene + Willie kept operating after the disputes closed. In 2018, K.P. McNeill, the former CEO of Billy Reid, and his wife Katy partnered with the Eddmensons to take over day-to-day operations while the founders stayed on for creative direction and design.7WWD. Imogene + Willie 15 Years Collaborations The Nashville brand is still in business today.