A Bespoke Law Firm®

Every business deserves savvy, attentive legal counsel — but not all businesses have the need or the budget for their own legal department. At the Sedhom Law Group, PLLC, we serve as outside general counsel for businesses that want to turn our seasoned guidance into opportunity.

  1. Home
  2.  » 
  3. Firm News
  4.  » Yeezy closes fraud lawsuit

Yeezy closes fraud lawsuit

| Aug 20, 2020 | Firm News

In early March 2020, Yeezy Apparel and Kanye West settled a legal fight that went on for an entire year. In January 2019, Toki Sen-l Co. filed suit against and accused the company of being “a mere shell… intended, conceived [of] and used by Kanye as a device to avoid individual liability.”

The lawsuit from Toki Sen-I Co.

The lawsuit filed in Superior Court for the County of Los Angeles claimed that Toki Sen-l Co., a Japanese fabric and fashion company, had signed a contract with Yeezy Apparel to provide 53,000 yards of fleece for shoes. It would total at $624,051.76.

The deal allegedly crumbled after Toki Sen-I Co. had contracted a mill and began production of the fleece. The company claimed that Yeezy refused to make payments or resolve any dispute with Toki Sen-I Co.

The company claimed that Yeezy Apparel had committed fraud, even going so far as to say that it is “a mere shell and sham without capital, assets, membership interests or members other than Kanye.”

Yeezy Apparel’s response

Yeezy Apparel’s response opposed the claims that the company is a liability shield for Kanye West. They also asserted that there was never a contract between West or Yeezy and Toki Sen-I Co., therefore leaving no basis for failed payments.

Yeezy’s representation says that the Chief Executive Officer of the company is Eugene Kim and claims that Kanye is the only member of the company are incorrect. Yeezy Apparel filed a stipulated protective order in October, which protects against confidential information being used in a lawsuit. This is possibly to avoid the use of any documentation of an agreement between the two.

In February, the case was voluntarily dismissed by Toki Sen-I Co. with prejudice. The case remains confidential and the lawsuits on the same basis cannot be brought against Yeezy Apparel in the future.