Adidas faces investor lawsuit alleging failure to address risks of Kanye West partnership

Adidas investors are suing the company over its failure to address Kanye West's behavior before dropping its partnership with him last year.
Adidas executives discussed the risks of continuing to work with Kanye West as early as 2018 but failed to take measures to limit the company's exposure, according to the lawsuit.
Adidas cut ties with Kanye West in October 2020 after he made antisemitic comments, leading to a loss of hundreds of millions of dollars in sales and leaving the company with unsold Yeezy products.
The lawsuit alleges Adidas and two former executives either knew about or recklessly disregarded Kanye West’s problematic behavior and its potential impact.
Kanye West is not named as a defendant in the lawsuit, which seeks unspecified damages and legal fees.