Allegations surfaced that they bribed sports recruiters inside the university to have their children accepted as athletes for the crew team, despite the fact that neither of their children participated in the sport.
"We haven't had a working relationship with Mossimo Giannulli in over a decade and we no longer carry any Mossimo branded products at Target", the company said in a statement.
The channel's parent company, Crown Media Family Networks, issued a statement Thursday revealing it has stopped development of all productions involving the "Fuller House" star. She allegedly paid $15,000 for the college consultant company to help her elder daughter cheat on her college placement exams and was released on $250,000 bail.
Giannulli founded the Mossimo brand with $100,000 borrowed from his father, according to the Hollywood Reporter.
Market strategist Laura Ries says it's an open question of whether audiences can separate Loughlin from the characters she plays.
Also on Thursday, the cosmetic giant Sephora announced the company would be ending a makeup partnership with Loughlin's daughter.
Loughlin has not yet entered a plea in the case, and her attorney declined comment Wednesday after her first appearance in a Los Angeles federal court.
Discover your new favorite show: Watch This Now! When Calls the Heart, which stars Loughlin as a schoolteacher in a turn-of-the-century Canadian coal town, is now airing its sixth season.
Hallmark Cards, the Kansas City, Missouri, enterprise started in 1910, has moved quickly before to respond to any flare-ups, such as in when it removed a gift wrap from circulation after one person complained of seeing a swastika in its pattern.
"She lost trust", said Robert Passikoff, president of Brand Keys, a New York-based brand research firm.
While Stewart may exemplify her business, Loughlin isn't the only engaging star that Hallmark boasts.
She's among the so-called "Christmas queens" who topline a slate of popular holiday movies.