HLN's Jane Velez-Mitchell talked to her panel of legal experts about this story.
In a statement to HLN, a Kardashian representative responded to the allegations:
“They take this situation very seriously and have been assured by all of their manufacturers that the factories are policed regularly and there is no truth to these allegations. That said, we are continuing to investigate the matter and if there is any evidence of an illegal operation then they will cease work with that manufacturer immediately.”
TMZ reports that Kardashian mom Kris Jenner told them the story is "unfair" and "libelous" and they're prepared to sue for any possible damage to the family's reputation.