Nicole Richie promoting Fall 2010 collection Winter Kate

Nicole Richie promoting her Fall 2010 collections "Winter Kate" and "House Of Harlow" in Calgary, Canada. Photo: George Pimentel,

Kitson kicks back.

The trendy Los Angeles retailer's fight with Majestic Mills, the manufacturer of Nicole Richie's Winter Kate collection, is getting uglier with a new countersuit filed by Kitson.

In court documents filed in Los Angeles, Kitson charges that Majestic Mills deprived the retailer of more than $500,000 in profits by not requiring Richie to make a personal appearance at the launch of Winter Kate clothing and House of Harlow 1960 shoes.

The retailer also said it was forced to take markdowns to compete with other retailers who bought the same goods at lower prices.

"We filed suit to defend ourselves against their suit and to tell both sides of the story," Dean Khial, director of operations at Kitson LA, told StyleList. "The truth is that celebrity clothing lines are tough to sell and everyone including that celebrity must work together to sell them. Her appearance was mutually agreed upon. We would not have bought that level of inventory if we were not having the launch of the line."

He added that any chance of negotiating with Richie was complicated by her entourage. "We could not make arrangements directly with her because she is surrounded by a management team. There are a lot of yes people around her," he said.

Winter Kate is Richie's boho clothing line that got its moniker from her daughter Harlow's middle names. House of Harlow is directly named for the little girl.

Majestic Mills had previously filed suit in August, claiming the retailer owed $230,000 worth of clothing and wasn't making arrangements for payment.

Majestic Mills did not respond to StyleList's request for comment.

In other news, check out what Richie's BFF Paris Hilton wore while Halloween shopping.