In a surprising turn of events, Gap Inc., the renowned global clothing and accessories retailer, has filed a lawsuit against African-American rapper-turned-mogul Kanye West and his brand Yeezy, seeking $2 million in damages.
The legal battle stems from alleged breaches in their agreement, which abruptly ended in September 2022.Â
Nearly eight months ago, West publicly announced the termination of the contract between his company, Yeezy, and Gap.Â
The termination was a result of Gap’s failure to fulfill its obligations under the agreement, including the distribution of Yeezy products in Gap stores by the second half of 2021 and the opening of dedicated Yeezy Gap stores.
Gap’s lawsuit against West and his Yeezy brand focuses on unapproved alterations made to a rental property in Los Angeles, currently owned by Art City Center and leased to Gap.
The property incurred damages due to unauthorized changes made by West, now known as Ye, including the addition of an exterior ramp and tunnel, the construction of a wall, and the removal of three bathrooms and ceiling lights.
The lawsuit, filed last month, alleges that West’s unauthorized alterations breached the strategic agreement and forced Gap to incur expenses for repairing and restoring the premises.
Gap holds West responsible for the damages caused by these alterations, passing on the claim to the rapper.
In related news, sportswear giant Adidas, which severed ties with Kanye West in October last year following his antisemitic comments, has announced plans to sell off its inventory of Yeezy shoes created in collaboration with the rapper-turned-business mogul.
Adidas CEO Bjorn Gulden confirmed that the company possesses 500 million Yeezy shoes worth over $1 billion, which will be gradually sold.
Some of the proceeds from the sales will be donated to organizations impacted by West’s controversial statements.
The fallout with West’s brand has negatively affected Adidas’ financial performance in the first quarter of the 2023 fiscal year.
The company reported a net loss of €39 million ($43 million), compared to a profit of €482 million ($531.2 million) during the same period last year.
