By: Hal C Clarke

A well-known New York City tattoo and piercing business has filed a multimillion-dollar lawsuit against several former employees who accused the company online of operating under unsanitary conditions, igniting a heated legal battle over allegations that spread widely on social media.

The company, Live By the Sword Tattoo, which operates studios in both SoHo and Williamsburg, recently filed a $3 million defamation lawsuit against three former workers it claims intentionally tried to damage its reputation and business, according to reporting by the New York Post. The company says the former employees coordinated a campaign on social media that included photos and accusations about allegedly unsafe conditions inside the shops.

According to court filings described by the New York Post, the posts included images and claims suggesting the tattoo studios were plagued by problems such as dirty equipment, pests including rats and roaches, and even bedbugs. The business alleges the statements were false and misleading and that they caused major financial damage by scaring away customers.

The company says it has served more than 300,000 tattoo and piercing clients over the past decade and argues the viral accusations threatened its reputation and cost the business significant revenue. In its lawsuit, the company claims it has already lost thousands of current and potential customers and could lose many more if the allegations continue to circulate, the New York Post reported.

But the former employees say the lawsuit is an attempt to silence them after they spoke publicly about conditions they believed were unsafe.

One of the former workers, Marcy Mattes, told the New York Post she spent three years working at the studio and decided to speak out because the conditions had become unacceptable. She described the situation inside the shop as “disgusting,” alleging that sanitation practices were sometimes ignored.

Mattes claimed used needles were occasionally left in sharps containers placed on the floor instead of mounted properly on walls, which she said sometimes led to them being knocked over and spilling bloody needles. She also alleged that customers could be exposed to blood or other contamination during procedures, according to the New York Post.

Another former worker, Wiki Karwacki, helped spark the controversy in December after announcing on Instagram that she was leaving the company. In the same post, she shared photos taken inside the studio that she said showed pests and other sanitation issues. The images quickly circulated online and attracted widespread attention, the New York Post reported.

Karwacki said she felt obligated to speak out because customers could be exposed to infections or complications if the conditions were as unsafe as she believed.

However, the tattoo business insists the accusations are fabricated.

In statements included in the lawsuit, company leadership said the studios follow strict sterilization procedures and comply with all New York City Department of Health regulations. The company also submitted documentation showing pest-control services and cleaning efforts, according to the New York Post.

A city Health Department official also told the New York Post that inspections conducted at the company’s studios over the past year did not uncover any health-code violations.

The lawsuit also names Samantha Vargas, another former employee, even though she did not make public accusations herself. The company argues she benefited financially from the controversy because customers were directed to seek services elsewhere.