On October 20, 2020, Halo Beauty's co-founder and co-owner Clark Swanson filed a complaint through the Superior Court of California in Los Angeles County, as Tenbarge previously reported.
The lawsuit claims Tati Westbrook and her husband James committed fraud, negligence, and breach of fiduciary duty, causing Halo Beauty and Swanson to suffer financially. Swanson is seeking more than $25,000 in damages.
According to the court documents, Swanson claims that by selling beauty products and planning others under the Tati Beauty brand, the Westbrooks had gone against their agreement to "make Halo Beauty the umbrella brand for all of Tati's future product lines, including cosmetics, skin care, and fragrances," as Tenbarge wrote.
Tati, James, and their brands have not yet filed a counter-complaint, though their lawyers did respond to Swanson's claims with a letter, which was shared exclusively by YouTuber Emily D. Baker. She said at the start of her video that she obtained the 188-page document from one of Tati's lawyers.
The letter says Swanson was an "unreliable and unproductive" business partner, that he wasn't truthful about his wealth and experience in the nutraceutical industry, and that there's no documentation to back up Swanson's lawsuit, among other claims. Swanson's lawyers did not immediately respond to Insider's request for comment.