Kanye West sued by e-commerce company for allegedly stealing technology


Kanye West is being sued by a black-owned video and e-commerce company called MyChannel Inc (MYC), which claims the artist violated their mutual non-disclosure agreement and took “their technology and proprietary information and confidential to fuel the e-commerce engine. »From his brand Yeezy. The federal lawsuit that was filed in the Central District of California on Tuesday, August 25, alleges that West and its brand Yeezy made “lavish pledges to MYC of millions of dollars in economic rewards” in forming a partnership, but didn’t have not followed up.

MYC says they built on those promises and dedicated “tens of thousands of hours” to Yeezy. Yet instead of a lucrative partnership, they say West cut off contact and took their proprietary, confidential technology and used it for his own Yeezy ecommerce engine.

In its 32-page complaint, the company says it “invented a new way to use new technology and artificial intelligence to seamlessly marry e-commerce with video content.” West became interested in their project in spring 2018 and convinced the CEO of the founders of the company MYC Julian Duggan and COO Gibran Gadsden to devote their full attention to him and his brand, the lawsuit claims, including moving their headquarters from Pennsylvania to Yeezy’s headquarters, first to Calabasas, Calif., then to Chicago, and to work full-time. on the West project for their own cost of $ 7 million. . Over a six-month period, West, they say, encouraged them “to devote millions of dollars in time and to the business, to grow, develop, operate and manage Yeezy’s e-commerce business.” This included hundreds of thousands of dollars for executive relocation for “the living and personal travel expenses of living in California and then in Chicago at Mr. West’s request.”

West also allegedly promised them to make a strategic $ 10 million investment in MYC and agreed to a nondisclosure agreement with MYC to protect their trade secrets. Yet in the end, MYC says West tapped into their proprietary information and then used copied video e-commerce technology to drive merchandise sales on its Sunday Service platform.

“He then inexplicably reneged on his promises apparently on a whim and walked away from the successful partnership while hijacking MYC’s proprietary and business secrets, earning Kanye hundreds of millions of dollars at MYC’s back,” according to the complaint.

Avocat MYC Ben Meiselas posted this statement on social media: “Lawyer Michael Popok and I just filed a federal complaint against Kanye West for misappropriating proprietary information and failing to pay his business partners. We will hold Mr. West accountable, and those who aided and abetted his conduct, and do justice to our client.

The plaintiffs seek compensatory damages in an amount to be determined at trial.

West’s rep did not respond to a request for comment at the time of posting.

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