WatchesAug 25, 2025
London Jewelers Brings Rolex to Historic Hamptons HomeThe new stand-alone Rolex boutique is housed in the former Odd Fellows Hall, a landmark built in 1897.
MajorsJul 26, 2019
Alex and Ani Sues Bank of America for Discrimination
The jewelry company accuses the bank of discriminatory lending practices against a women-led company and is asking for $1 billion in damages.
Alex and Ani founder Carolyn Rafaelian was featured in Bank of America advertisements highlighting its commitment to diversity in lending. The company filed a lawsuit against the bank Wednesday for alleged discriminatory lending practices.
New York—Alex and Ani LLC filed a lawsuit against Bank of America Corp. Wednesday, alleging lending discrimination against the women-led company and asking for $1.1 billion in damages.
According to the lawsuit, filed in federal court in New York, Bank of America granted the company a line of credit in 2016 to fund its operations but declared Alex and Ani in default in December 2018, allegedly without warning.
The suit claims that Bank of America breached the credit agreement by “fraudulently alleging a default that didn’t exist,” as Alex and Ani made timely payments and complied with the terms of the agreement.
Cutting its credit line cost the company more than $1 billion in expenses, lost revenue and reduced market value, as per the court filing.
The lawsuit claims the bank’s actions are “driving Alex and Ani towards bankruptcy and milking it for literally tens of millions of dollars in fees. The endgame is clear: Bank of America wants the women out of power at Alex and Ani.
“It wants to bring back the good old days, when a male Alex and Ani CFO [Bob Woodruff] let Bank of America charge whatever it wanted for BofA’s putative ‘services.’”
Initially, the suit states, Bank of America and Alex and Ani had a “comfortable” relationship, with the financial institution featuring Alex and Ani founder Carolyn Rafaelian in advertisements to showcase its commitment to diversity to the public.
Despite its “glossy marketing,” the suit alleges, the bank is “decidedly retrograde in its views toward women, toward people of color and toward other protected groups.”
The relationship allegedly began to sour in December 2017, when Andrea Ruda, a woman, stepped in as Alex and Ani chief financial officer after Woodruff left the company.
Under Woodruff’s year-long tenure, the bank allegedly took in millions of dollars in fees, consulting costs and other reimbursements from Alex and Ani, but he made financial and operational decisions for the company that were “unjustifiable--even reckless,” the lawsuit states.
Ruda, on the other hand, is described as “young, no-nonsense and driven to cut costs and trim the fat.” She slashed payroll costs and reviewed productivity to the benefit of then-struggling company’s bottom line, and by extension, the bank’s investment.
However, the lawsuit states, the company has been treated unfairly since Ruda’s appointment as CFO because the bank “has a gender bias problem,” pointing to the nearly $211 million in discrimination penalties that the bank has
paid to various companies since 2000.
The suit claims that as soon as Ruda started as CFO, Bank of America began advocating for the hiring of expensive outside consultants, specifically a male chief restructuring officer, to run Alex and Ani’s finances at the company’s expense.
As her tenure stretched on, she found the bank to be “increasingly uncooperative,” despite her "herculean--and objectively successful--efforts to shore up and turn around Alex and Ani’s finances.”
In the company’s statement on the lawsuit, Bank of America spokesman Bill Halldin said the loan is spread out across seven banks, including Bank of America, which also acts as an administrative agent.
“As the complaint itself notes, the company has faced serious financial challenges for nearly two years. The banks have worked closely with the company during this time,” he said. “Bank of America’s demonstrated record of support for diverse businesses is well-noted and widely recognized.”
In March, the bank announced that it had pledged $100 million to the Tory Burch Foundation Capital Program in 2019, a program that provides loans to women entrepreneurs.
Alex and Ani did not respond to National Jeweler’s request for further comment on the lawsuit by press time.
The company is represented by Harmeet Dhillon of Dhillon Law Group Inc., who has taken on several high-profile First Amendment cases.
The case is Alex and Ani LLC v Bank of America NA, 19-cv-6929, U.S. District Court, Southern District of New York.
The suit claims that as soon as Ruda started as CFO, Bank of America began advocating for the hiring of expensive outside consultants, specifically a male chief restructuring officer, to run Alex and Ani’s finances at the company’s expense.
As her tenure stretched on, she found the bank to be “increasingly uncooperative,” despite her "herculean--and objectively successful--efforts to shore up and turn around Alex and Ani’s finances.”
In the company’s statement on the lawsuit, Bank of America spokesman Bill Halldin said the loan is spread out across seven banks, including Bank of America, which also acts as an administrative agent.
“As the complaint itself notes, the company has faced serious financial challenges for nearly two years. The banks have worked closely with the company during this time,” he said. “Bank of America’s demonstrated record of support for diverse businesses is well-noted and widely recognized.”
In March, the bank announced that it had pledged $100 million to the Tory Burch Foundation Capital Program in 2019, a program that provides loans to women entrepreneurs.
Alex and Ani did not respond to National Jeweler’s request for further comment on the lawsuit by press time.
The company is represented by Harmeet Dhillon of Dhillon Law Group Inc., who has taken on several high-profile First Amendment cases.
The case is Alex and Ani LLC v Bank of America NA, 19-cv-6929, U.S. District Court, Southern District of New York.
More on Majors
The Latest
CollectionsAug 25, 2025
Tennis Star Madison Keys Has the Perfect Necklace for the US OpenThe Brilliant Earth ambassador co-designed a diamond medallion featuring meaningful symbols.
WatchesAug 25, 2025
WatchTime NY Show Returns for 10th Anniversary EditionThe three-day watch collector show, coming this October, will feature 44 exhibiting brands, as well as a new dinner experience.
Brought to you by
Rallying Call for the Jewelry Industry on Tariffs and Other Key IssuesJewelers of America is leading the charge to protect the industry amidst rising economic threats.
TrendsAug 25, 2025
Amanda’s Style File: That’s a WrapWrap jewelry is more than just a trend; it’s the perfect motif for the coming season of layering, scarves, and pumpkin spice.
Weekly QuizAug 22, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
GradingAug 22, 2025
Former Head of GIA India Promoted to Oversee Global Operations Sriram “Ram” Natarajan is now GIA’s senior vice president of laboratory operations and is based out of the lab’s headquarters in Carlsbad.
CollectionsAug 22, 2025
Piece of the Week: Retrouvaí’s ‘Diamond Vein Bond’ CollarThe one-of-a-kind collar represents the beauty of imperfection and the strength to rebuild.
Brought to you by
Taking the Moment Head On: How Rio Grande Champions the Present & Future of Fine JewelryAs a leading global jewelry supplier, Rio Grande is rapidly expanding and developing new solutions to meet the needs of jewelers worldwide.
MajorsAug 21, 2025
Target Names New CEO as Sales Continue to Lag Target CEO Brian Cornell will step down in February and be replaced by the company’s chief operating officer, Michael Fiddelke.
Policies & IssuesAug 21, 2025
JA, IDMA Talk Tariffs With Execs in DC The group met with the president's senior trade advisor earlier this week to express the industry’s concerns about the effects of tariffs.
MajorsAug 21, 2025
Tiffany & Co. Pops Up at 2025 US OpenThe pop-up will display this year's Tiffany & Co. Singles Championship trophies along with a diamond-encrusted tennis racket and ball.
IndependentsAug 20, 2025
Bellman’s Jewelers Opens Second Store After COO's TikTok Takes OffThe New Hampshire-based store has expanded to Boston, propelled by the success of Alex Bellman’s TikTok page, “The Truthful Jeweler.”
CrimeAug 20, 2025
Another CA Jewelry Store Rammed With Car, RobbedThe latest incident happened Monday at a store in Oakland, California, continuing a pattern JSA first warned about last month.
WatchesAug 20, 2025
Oris Launches Watch Benefiting NYC Harbor Oyster RestorationThe new aqua green New York Harbor Limited Edition II is the watchmaker’s second collaboration with the Billion Oyster Project.
Events & AwardsAug 20, 2025
Take the Jewelers for Children ‘Trinity of Purpose’ ChallengeParticipants who attend any three Rings of Strength events will be awarded a special medal.
SourcingAug 19, 2025
Dubai’s Jemora Group Buys Diamond Miner LucapaThe investment company, founded by Dev Shetty, has acquired the struggling miner and its assets, including the Lulo mine in Angola.
ColumnistsAug 19, 2025
Peter Smith: The Arrival Fallacy and Jewelry RetailSmith shares wisdom he gleaned from a podcast he was listening to one morning while being walked by his dog, a Malshi named Sophie.
CrimeAug 19, 2025
Customs Seizes 7,300 Pairs of Fake ‘Alhambra’ EarringsThe counterfeit Van Cleef & Arpels jewels would have been worth more than $30 million if genuine.
MajorsAug 19, 2025
MJSA Apprenticeship Program Is Nationally RecognizedThe MJSA Mentor & Apprenticeship Program received the Registered Apprenticeship Program designation by the U.S. Department of Labor.
WatchesAug 19, 2025
Casio America Names New Timepiece Division ManagerCasio executive and watch enthusiast Masaki Obu is the new general manager of its U.S. timepiece division.
MajorsAug 18, 2025
Verragio’s Michael Barabash, a ‘Kind Soul,’ Dies at 58Barabash, Verragio’s client relations representative, was a vital member of the team and is remembered as being warm and full of life.
CollectionsAug 18, 2025
John Hardy’s New ‘Dot’ Collection Is on PointOriginally introduced in 1992, the “Dot” collection is back with a capsule featuring five archival designs and three new creations.
Events & AwardsAug 18, 2025
IJO Announces 2025 Vendor of the YearAllison-Kaufman has received the honor for the fourth year in a row.
FinancialsAug 15, 2025
In Q2 Results, Pandora Talks Tariffs, Q4 Plans The company had a solid second quarter, with sales of non-charm jewelry outpacing sales of pieces in its core collections.
EditorsAug 15, 2025
Piece of the Week: Etho Maria’s Showgirl-Approved Ruby Drop Earrings Taylor Swift dons the vibrant pair in new promotional imagery for her upcoming album, “The Life of a Showgirl,” set to release in October.
WatchesAug 15, 2025
Audemars Piguet Acquires Majority Stake in ManufacturerIts investment in micromechanics expert Inhotec will preserve skills essential to the watchmaking industry as a whole, said the company.
MajorsAug 15, 2025
Rio Grande Names New Marketing DirectorNicolette Bianchi joins the wholesale provider with more than 15 years of cross-industry experience in marketing and product development.
