Adidas Faces Class-Action Lawsuit Over Failure to Disclose Kanye’s Extreme Racism

The Kanye West x Adidas saga keeps getting worse with the news that investors have filed a class action lawsuit against the sportswear giant.

According to the lawsuit, investors are alleging executives knew about Ye's problematic behaviour years before they ended their partnership with the rapper.

ICYMI: Yeezy lost his Adidas after 10 years with the brand after making a series of shocking, antisemitic comments on social media last October, which resulted in a projected Q4 loss of $US 246 million.

At the time, Adidas released a statement that read: "Adidas does not tolerate antisemitism and any other sort of hate speech. Ye’s recent comments and actions have been unacceptable, hateful and dangerous, and they violate the company’s values of diversity and inclusion, mutual respect and fairness."

"After a thorough review, the company has taken the decision to terminate the partnership with Ye immediately, end production of Yeezy branded products and stop all payments to Ye and his companies. Adidas will stop the Adidas Yeezy business with immediate effect."

Along with the antisemitic comments, Kanye was criticised for wearing a shirt with a “White Lives Matter” slogan at Paris Fashion Week in October, which the Anti-Defamation League categorises as a white supremacist phrase that originated as “a racist response to the Black Lives Matter movement.”

However, according to investors, senior executives at Adidas were aware of anti-Semitic remarks made by Kanye as far back as 2018. 

The investors claim that the annual reports of the company did not disclose the fact that the rapper had made such comments to Adidas staff. One of the comments in question was reportedly Kanye suggesting the name Adolf Hitler for an album. 

Adidas has rejected allegations that they ignored West’s antisemitic views to proceed with their partnership.

"We outright reject these unfounded claims," they said, adding that they "will take all necessary measures to vigorously defend ourselves against them."

The class action lawsuit will reportedly cover anyone who bought Adidas stock between 3 May 2018 — when West claimed "slavery was a choice" — until 2023.