One Family Built Forever 21, and Fueled Its Collapse (Published 2019) (2024)

FAQs

What was the downfall of Forever 21? ›

Forever 21's primary focus was mall locations, which became a problem as malls started to decline. They often agreed to unfavorable lease terms, locking them into long-term, overpriced agreements. This inflexibility became a financial burden, pushing them deeper into debt.

But the brand has a history riddled with controversies. From ripping off independent artists, to releasing culturally insensitive designs, to using straight-sized models in advertising for plus-sized clothing, and even shipping plus-sized orders with weight loss bars—yikes.

Take Forever 21. Four years ago, the chain filed for bankruptcy. In 2020, it was bought out of bankruptcy by an unusual team: America's largest mall operators and a firm called Authentic Brands Group. Today, it is as ready as ever to sell you the shortest shorts.

Forever 21 as a Christian brand is a revelation, not just about this specific business, but about the beautiful marriage of faith and fashion. It is a tale of how branding can tread the divinity of human sensitivity, touching not just the material needs but the spiritual wants of the consumer.

The ACLU lawsuit, Fashion 21 v. Garment Worker Center, alleges that the 19 workers sewed, trimmed, and pressed Forever 21 clothing in sweatshop conditions, and were not paid the minimum wage and/or overtime due them under state and federal law.

Today, reports confirm that Shaq is the second-largest individual to own shares in Authentic Brand Group, which owns JCPenney, Forever 21, and, ironically, Reebok.

1.4 CAG alleges that Covered Products contain Diethyl Hexyl Phthalate, also known as Bis (2-ethylhexl) phthalate, (DEHP), and that FOREVER 21 did not provide a required warning in compliance with the California Safe Drinking Water and Toxic Enforcement Act (Cal.

Forever 21 is a multinational fast-fashion retailer headquartered in Los Angeles, California, United States. Originally founded as the store Fashion 21 in Highland Park, Los Angeles in 1984, it is currently operated by Authentic Brands Group and Simon Property Group, with about 540 outlets.

Forever 21's practices, characterized by mass production, cheap labor, and disposable fashion, contributed to its downfall. The brand's unsustainable business model and lack of ethical considerations resulted in mounting negative publicity and consumer backlash.

Forever 21 is one of the largest fast fashion retailers in the U.S., and it churns through millions of articles of clothing every season. Whatever doesn't get sold is likely headed to the landfill.

Who owns Forever 21 now? ›

F21 continues to operate E-commerce and 450 locations across the U.S. along with maintaining a strong brand DNA with consumers and within the fashion industry. In February 2020, Forever 21 came under new ownership made up of Simon Property Group, Brookfield Property Partners, and Authentic Brands Group.

Our agreement also covers issues of time off, free association and movement rights, nondiscrimination, environmental protection and security. Our agreement expressly prohibits human trafficking and the use of forced, slave, child or prison labor, or labor from closed or freedom-restricting countries.

That's why the Bible's most famous salvation verse, “John 3:16,” appears at the bottom of Forever 21's yellow shopping bags. “I hoped others would learn of God's love,” Do Won once explained to CNN. “So that's why I put it there.”

Every Forever 21 shopping bag has the words "John 3:16" on the bottom. The verse, one of the best-known in the Bible, reads: "For God so loved the world, that he gave his only begotten Son, that whosoever believeth in him should not perish, but have everlasting life."

But as online spending has died down, Forever 21 is one of many brands reinvesting in brick-and-mortar retail. The 14 new stores are different than the sprawling, multi-floor experiences that Forever 21 is known for, as the brand is trying to avoid the mistakes of the past.

Apparel giant Forever 21 has confirmed a data breach that impacted over 500,000 current and former employees. In a written notices sent to potential victims, Forever 21 said it detected a cyber incident on March 20, 2023, that compromised a limited number of computer systems.