How to Handle Endorser Outrage – Lessons From Kanye’s Twitter Dispute
Kim Herman and Mike Palmisciano were quoted in the article, "How to Handle Endorser Outrage – Lessons From Kanye’s Twitter Dispute," which was published by World Trade Review on September 18, 2020 [sub. req.].
The article discusses a recent Twitter dispute between Kanye West and his label, Universal Music Group (UMG), over UMG's refusal to sell him the master recordings of his songs. Kim and Mike discuss key takeaways and lessons on how companies who work with high-profile celebrities can protect their brands.
According to Mike, contract safeguards should include “buttoned-up restrictions on the celebrity’s use of the brand name and logo in any format or forum, including on social media." Kim adds that it is "the brand’s responsibility to make sure it has sufficient rights and remedies in the case of a breach. Any agreement should expressly provide for injunctive relief and monetary damages. A brand owner might also specify liquidated damages for reputational harm, where actual damages would be difficult or impossible to measure."