Designer Jhane Barnes Runs Company as Piggybank, Co-Owner Claims

Designer Jhane Barnes was sued in Delaware by the minority co-owner of her fashion line, who claims she’s using the company as “her own personal piggybank,” even after appointing three directors who later quit.

Barnes owns 82% of Jhane Barnes Holdings Inc., which she founded and helms, according to the Chancery Court lawsuit unsealed Friday. But even the majority owner of a privately held company isn’t entitled to take the liberties she’s been taking for nearly 15 years, the complaint says.

The derivative suit was filed by Howard Feinberg, a former JBH executive who says he owns the other 18% ...