Adidas Drops Ye: The Division of IP Rights

Following discriminatory comments made in the media, many brands are cutting ties with Ye (formerly Kanye West), resulting in the severing of contractual relationships. This includes one of his most notable collaborations – Adidas.

Adidas severing ties with Ye will likely have impacts on the division of intellectual property rights. An article published by Fortune indicates that Adidas will likely owe Ye royalties on any of their joint products sold since the last royalty payment made to him, which may continue into next year. Although Ye’s company has many trademarks and registrations, it appears that Adidas has design rights to many existing products, as well as design patents for the Yeezy Boost 350. Going forward, it is unlikely that Ye will be able to sell designs similar to those produced in collaboration with Adidas, should he decide to sell apparel on his own.

In the fashion world, collaborations have become quite popular. This circumstance highlights the potential protections regarding intellectual property that brands may want to build into their contracts.

Here is the link to the article in case any of you are interested in giving it a read:

https://fortune.com/2022/10/26/how-much-does-adidas-owe-kanye-west-ye-yeezy-royalty-payments/