According to the Complaint, adidas AG is a sports brand and engages in the design, distribution, and marketing of athletic and sporting lifestyle products.

In November 2013, adidas announced the beginning of the Partnership with Kanye West, whereby West would endorse adidas shoes. The Partnership commenced after West's relationship with Nike broke down.

The Complaint alleges that Defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose, among other things, that: (1) in addition to other misconduct, Kanye West made anti-Semitic comments in front of adidas staff; (2) adidas was aware of his behavior, and failed to warn investors that it was aware of that behavior, and had considered ending the Partnership as a result of it; (3) adidas failed to take meaningful precautionary measures to limit negative financial exposure if the Partnership were to end as a result of West’s behavior; (4) adidas overstated the risk mitigation measures it took with regard to Yeezy shoes in the event that it terminated the Partnership; (5) as a result, Defendants’ public statements were materially false and/or misleading at all relevant times.

On July 25, 2023, the Court issued an Order appointing Lead Plaintiff and Lead Counsel. Lead Plaintiff filed an amended Complaint on October 17.

On December 12, 2023, Lead Plaintiff filed a second amended Complaint. Defendants filed a Motion to Dismiss the second amended Complaint on February 2, 2024. On August 16, the Court issued an Order granting Defendants' Motion to Dismiss. Plaintiff was given leave to amend the Complaint.

Plaintiff did not amend the Complaint, and on September 24, 2024, the Court issued an Order dismissing the case with prejudice and entered Judgment. Lead Plaintiff filed a notice appealing the Court's Dismissal Order and Judgment on October 23.