Adidas Defeats Stock Suit Over Rapper Ye’s ‘Racist’ Remarks (1)

An Adidas AG investor failed to show the footwear company could be liable for not disclosing issues with its celebrity business partner Kanye West, known as Ye, a federal court ruled.

The investor didn’t adequately allege that the company’s risk disclosures, diversity statements, or alleged violations of European Union disclosure requirements were misleading, Judge Karin J. Immergut said Aug. 16 for the US District Court for the District of Oregon.

The union funds suing on behalf of a proposed class alleged that Ye’s “antisemitic and racist” statements led to stock drops. First, two sets of Ye’s own comments caused Adidas’ ...